Suppose that Jessica has a fixed income of $100 per month, which she spends entirely on movies and paperback books. The price of movies is $5 and the price of paperback books is $10. Which of the following combinations is not on her budget line?
A. 5 paperback books and 10 movies
B. 10 paperback books and 0 movies
C. 3 paperback books and 14 movies
D. 8 paperback books and 5 movies
Answer: D
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On a production possibilities frontier showing possible output levels of good A and good B, the opportunity cost of producing the first 10 units of A will usually be
a. the same as the opportunity cost of producing the second 10 units of A b. less than the opportunity cost of producing the second 10 units of A c. greater than the opportunity cost of making the second 10 units of A d. 10 units of A e. 10 units of B
Which would you rather have? a) $100 today or b) $200 in 9 years if the interest rate is 8%.
What will be an ideal response?
the main policy making body of the federal reserve system is the
What will be an ideal response?
One of the reasons we know that international labor mobility has been higher at other times is because
A) the percent of our population that was foreign born was higher. B) wages were lower. C) labor was important in agriculture. D) the population was younger.