In a many-worker economy the consumption possibilities line touches the production possibility curve
A. at two points.
B. at one point.
C. at three points.
D. at more than three points.
Answer: B
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Prices and returns for ________ bonds are more volatile than those for ________ bonds, everything else held constant
A) long-term; long-term B) long-term; short-term C) short-term; long-term D) short-term; short-term
At the 1976 IMF conference in Jamaica,
A) the United States reaffirmed its commitment to buy and sell gold at a fixed price. B) currencies were formally allowed to float. C) the major countries of the world agreed to continue a system of fixed exchange rates. D) the gold standard was reestablished.
Suppose that a U.S. dollar buys more gold in Australia than it buys in Russia. What does purchasing-power parity imply should happen?
When economic losses exist in the cereal market, for example, this is an indication that
A. Society's scarce resources are being used in the best way. B. Not enough firms are producing cereal (assuming that the market is perfectly competitive). C. The goods and services that society is giving up (the opportunity cost) are more valuable than the cereal being produced. D. The WHAT to produce question is being answered efficiently.