Why is it inefficient for an economy to be inside the production possibilities frontier?
It is inefficient because the society has the resources to produce more of one or more goods, at no loss of production of any other goods or services. Failure to produce may mean that some resources (labor) are gone forever. The inefficiency can be from either not using all resources, or from assigning inputs to the wrong task, i.e., one for which it is not productive.
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The nation's structural unemployment will increase when
A) bad economic policies send the economy into a recession. B) there is influx into the labor market of new college graduates. C) there is an increase in post-Christmas layoffs of workers. D) an increase in textile imports displaces older textile workers who do not have the skills necessary to find new jobs.
Social security benefits have exceeded/will exceed payroll taxes starting in
A. 2005. B. 2010. C. 2020. D. 2030.
According to Scenario 4-1, country C has net exports of:
a. zero. b. $13 million. c. $6 million. d. ?$13 million. e. ?$6 million.
Which of the following is true?
a. The proportion of college degrees earned by women has been virtually unchanged during the last four decades. b. There was a substantial increase in the earnings of women relative to men in the 1960s and 1970s following the passage of legislation prohibiting employment discrimination against women. c. The number of women preparing for careers as professionals has declined during the last two decades. d. In 2010, 57 percent of those completing college degrees were women.