The accompanying figure shows Avery's weekly production possibilities curve for scarves. 
Avery's PPC would shift outward if she:
A. devotes more time to knitting each week.
B. devotes less time to knitting each week.
C. knits more red scarves and fewer blue scarves each week.
D. knits fewer red scarves and more blue scarves each week.
Answer: A
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The steeper the central bank reaction function, the ________ the central bank increases the interest rate in response to the current inflation rate being above the target inflation rate and the ________ the central bank decreases the interest rate in
response to the actual inflation rate being below the target inflation rate. A) more; more B) more; less C) less; more D) less, less
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A. a tax increase B. expectations of inflation C. higher disposable income D. lower wealth holdings
In a repeated prisoner's dilemma situation, cooperation can be achieved _____
a. if player A cooperates as long as player B cooperates b. if player A continually defects on player B c. if player A cooperates regardless of what player B does d. never