If the Mexican economy is using all of its available resources to produce goods, it means that the Mexican economy is producing at a point
a. located at one of the endpoints of the production possibilities curve
b. beyond (exterior to) its production possibilities curve
c. on its production possibilities curve
d. inside (interior to) its production possibilities curve
e. closer to the origin than its production possibilities curve
C
You might also like to view...
In computing GDP, it is essential to
A) avoid double counting. B) include government transfer payments. C) include government tax revenues. D) count all intermediate products directly as they are produced.
A per unit subsidy increases both consumer and producer surplus, but results in a deadweight loss
Indicate whether the statement is true or false
A decrease in the price level will result in:
a. a downward shift of the AD curve. b. an upward shift of the AD curve. c. a movement up the AD curve. d. a steeper slope of the AD curve. e. a movement down the AD curve.
The Fed's actions influence real GDP by changing expenditure plans. Other things remaining the same the lower the real interest rate, the ________ is the amount of consumption expenditure and the _______ is the amount of saving.
Fill in the blank(s) with the appropriate word(s).