The law of increasing opportunity cost explains why the shape of the production possibilities curve is:
A. a straight line parallel to the horizontal axis.
B. bowed inward (convex) to the origin of the graph.
C. a straight line from one axis to the other.
D. bowed out (concave) from the origin of the graph.
Answer: D
You might also like to view...
Industrial countries are not usually involved in currency bailouts since they are not likely to be affected by the devaluation of another country's currency.
Answer the following statement true (T) or false (F)
A macroeconomist would concentrate on which of the following issues?
A. The price of pizzas B. The profits of the IBM Corporation C. The unemployment rate in Germany D. The market for hotdogs
Explain why inflation is a way for governments to default on a portion of the debts they owe.
What will be an ideal response?
If the slope of a straight line is 4 and if Y (the variable on the vertical axis) decreases by 20, then X (the variable on the horizontal axis)
A. decreases by 5. B. increases by 5. C. decreases by 80. D. increases by 80.