Production efficiency requires that
A) the economy be producing on the PPF but the marginal cost of a good does not need to equal its marginal benefit.
B) the economy be producing on the PPF and that the marginal cost of a good equals its marginal benefit.
C) the marginal cost of a good equals its marginal benefit but the economy does not need to be producing on its PPF.
D) the society be producing at the point of allocative efficiency.
E) opportunity costs be minimized.
A
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a. computer operating systems b. wheat c. movies d. cable television
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A. expansionary; higher; higher B. expansionary; higher; potential C. recessionary; higher; potential D. recessionary; lower; lower
The practice of governments or firms actively improving the educational and job opportunities of members of groups that have not been treated fairly in the past is called
A) segregation. B) subsidization. C) resource allocation. D) affirmative action.
In the figure above, the second richest 20 percent of households receive ________ of total income
A) 55 percent B) 35 percent C) 25 percent D) 45 percent