Refer to the information provided in Figure 2.3 below to answer the question(s) that follow.
Figure 2.3Refer to Figure 2.3. Assume that in this society the marginal rate of transformation of sailboats for surfboards is constant and equal to -10. A graph of this society's production possibility frontier will be represented by Panel
A. A.
B. B.
C. C.
D. D.
Answer: C
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The provision of the Patient Protection and Affordable Care Act (ACA) which states that insurance companies are required to participate in a high-risk pool that will insure individuals with pre-existing medical conditions who have been unable to buy
health insurance for at least six months is the ________ provision. A) state health insurance marketplaces B) employer mandate C) individual mandate D) regulation of health insurance
If the economy is on the aggregate supply curve but to the right of the aggregate demand curve, which of the following will be the first market force to lead the economy toward an equilibrium?
a. At the current output level, prices will be too low and firms will increase their prices. b. At the current price level, output will be too low, inventories will diminish, and firms will increase their production. c. At the current output level, prices will be too low and firms will lower their prices. d. At the current price level, output will be too high and so prices will drop so that output will drop. e. At the current price level, output will be too high, inventories will pile up and firms will cut back on their production.
A firm's average costs will be falling whenever its:
a. marginal costs are positive. b. marginal costs are negative. c. marginal costs are less than average costs. d. marginal costs are less than fixed costs.
Answer the following statements true (T) or false (F)
1. Imports and exports are examples of financial flows. 2. When a U.S. firm purchases a Hungarian metal plant, this is an example of a capital resource flow. 3. In terms of combined volume of imports and exports, China was the world's leading trading nation in 2012. 4. A trade deficit occurs when government spending exceeds tax revenues. 5. One leading export of the United States is agricultural products.