If the production possibilities frontier between two goods were a straight line, then the opportunity cost of one good in terms of another would be
A) constant.
B) increasing.
C) decreasing.
D) zero.
E) either constant, increasing, or decreasing but more information is needed to determine which.
A
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Which of the following is an advantage of using a credit card? a. Credit cards help account holders tap directly into their checking account. b. Credit cards help account holders get a loan from the card issuer
c. Credit cards require a PIN number, and are therefore safe. d. Credit card holders can earn a fixed interest on their accounts. e. Credit cards help eliminate the use of money.
A downward shift in the consumption function can be caused by:
a. expectations of higher inflation. b. an increase in wealth. c. a lower price level. d. none of these.
In the long run, a perfectly competitive firm earn _______ economic profits
a. positive. b. negative. c. zero. d. positive or negative.
An expansion of the money supply, ceteris paribus, will
a. raise interest rates b. reduce investment demand c. contract aggregate demand d. lower prices e. increase investment in the economy