Refer to the diagram. Which of the following is a positive statement?
A. A point inside the production possibilities curve is superior to a point on the curve because
the former requires less work effort.
B. Because any society should stress economic growth as its major goal, point D is superior
to point C.
C. Point B is preferable to point C because the ultimate goal of economic activity is to
maximize consumption.
D. Given its resources and technology, this society is incapable of simultaneously producing 3
units of tractors and 15 units of bread.
D. Given its resources and technology, this society is incapable of simultaneously producing 3
units of tractors and 15 units of bread.
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If the price level increases by more than expected, output can be expected to decrease as a result
a. True b. False Indicate whether the statement is true or false
The argument that import restrictions save jobs and promote prosperity fails to recognize that
A) import restrictions cannot create jobs in any industry. B) import restrictions cannot create jobs in any industry. C) there are no secondary effects of import restrictions. D) import restrictions will lower prices in the protected industries.
If Apple Computer Corporation constitutes a sizeable share of your current stock holdings, the purchase of which of the following stocks would provide you with the greatest reduction in risk?
A) Hewlett Packard B) Dell Computer Corporation C) McDonalds D) Gateway
Assume that the quantity of X is measured on the horizontal axis, and the quantity of Y is measured on the vertical axis. Assume that the price of X is $3 and the price of Y is $6. If Amanda has $90 to spend on X and Y, then
A. she can buy, at most, 15 units of good X. B. her budget line has a slope of ?3. C. she can buy, at most, 30 units of good X. D. her budget line has a slope of -2.