If an economy is operating at a point inside the production possibilities frontier, then
A) society's resources are being inefficiently utilized.
B) the PPF curve will shift inward.
C) society's resources are being used to produce too many consumer goods.
D) economic policy must retard further growth of the economy.
A
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A dynamic game is a game
A) in which the players are highly animated. B) that is sequential or repeated. C) where the payoffs change frequently. D) that has actions instead of strategies.
The increase in world oil prices during the 1970s was
a. the result of depletion of world reserves of oil. b. artificially created by OPEC. c. the result of extremely high growth rates in industrialized countries. d. fully reversed by 1982.
The flypaper theory of tax incidence
a. ignores the indirect effects of taxes. b. assumes that most taxes should be "stuck on " the rich. c. says that once a tax has been imposed, there is little chance of it changing, so in essence people are stuck with it. d. suggests that taxes are like flies because they are everywhere and will never go away.
An expenditure schedule model with no government sector shows the relationship between
A. C and national product. B. C and disposable income. C. C + I and national income. D. GDP and disposable income.