As you move down the production possibility frontier, the absolute value of the marginal rate of transformation
A. increases.
B. initially decreases, then increases.
C. decreases.
D. initially increases, then decreases.
Answer: A
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In new growth theory, the source of economic growth is ______.
A. more leisure B. new and better jobs C. the persistent want for a higher standard of living D. an ever increasing growth rate of capital per hour of labor
Refer to Figure 29-1. The appreciation of the dollar is represented as a movement from
A) C to A. B) C to B. C) D to C. D) B to A.
Which of the following is not a characteristic of "perfect" markets?
A) Buyers and sellers can transact with each other directly if transaction costs are set at an appropriate level. B) Securities are infinitely divisible. C) Buyers and sellers know the true quality of what they are buying and selling. D) All of the above are characteristics of perfect markets.
Fogel and Engerman (1974) argue that slavery was economically viable until 1860
Indicate whether the statement is true or false