Using Figure 1.6, if an economy has the capacity to produce represented by PP1, then point E represents
A. An efficient use of resources.
B. A change in technology.
C. A constant trade-off between cars and SUVs.
D. A combination of cars and SUVs that is not attainable.
Answer: A
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Refer to Figure 22-4. Which of the following combinations of points illustrates changes in the Soviet Union's economy from 1950 to 1980?
A) B to D B) E to B C) B to E D) A to B to C
A market
A) always involves the personal exchange of goods for money. B) allows interactions between consumers and firms. C) always takes place at a physical location. D) has no influence on prices.
Interest rate ceilings resulted in great profitability for banks in the 1970s
a. True b. False Indicate whether the statement is true or false
The answer is: "It is sometimes in the best interest of business firms to pay their employees higher-than-equilibrium wage rates." What is the question?
A) What do efficiency wage models imply? B) What do classical economists say? C) What is the central tenet of Say's law? D) What did John Maynard Keynes say was the reason for inflexible wages? E) none of the above