Consider two countries, Estonia and Ukraine. Estonia devotes a larger portion of its production to capital. All other things equal, which of the following statements is most likely true?
A. Estonia's production possibility frontier will shift up and out farther and faster than Ukraine's.
B. Estonia will move up its production possibility curve faster than Ukraine.
C. Estonia is a poorer country than Ukraine.
D. Ukraine is producing inside its production possibility frontier, whereas Estonia is producing at a point on its production possibility frontier.
Answer: A
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Indicate whether the statement is true or false
Consider the production possibilities frontier displayed in the figure shown. If this society chooses to produce 15 watermelons in can produce no more than:
A. 400 bushels of apples.
B. 300 bushels of apples.
C. 200 bushels of apples.
D. 100 bushels of apples.
Which of the following is a positive microeconomics statement?
A) The central bank should increase the nation's money supply. B) The increase in the nation's money supply helped push the nation's unemployment rate down in the short run. C) Ford Motor Company's new advertising campaign ended up hurting General Motors's sales. D) The local government ought to spend more on recreational activities.
High Tech, Inc. produces plastic chairs that sell for $10 each. The following table provides information about how many plastic chairs can be produced per hour. Number of WorkersChairs Produced Per Hour00110218324428530For simplicity, assume that labor is the only input. How many workers will be hired if the hourly wage for workers is $120?
A. 5 B. More than 5 C. 0 D. 3