A society's production possibility frontier is bowed out from the origin because some resources are better suited for producing one good as opposed to the other.
Answer the following statement true (T) or false (F)
True
You might also like to view...
A decrease in the price level, holding the nominal money supply constant, will shift the LM curve
a. upward and to the right. b. downward and to the left. c. downward and to the right. d. upward and to the left.
Government assistance to workers whose employment prospects have worsened is called:
A. the minimum wage. B. transition aid. C. worker mobility payments. D. social security.
If you know that an increase in a household's disposable income from $35,000 to $45,000 leads to an increase in consumption from $30,000 to $38,000, then you can conclude that the:
a. Marginal propensity to save is .25 b. Marginal propensity to consume is .8 c. Slope of the consumption schedule is .75 d. Average propensity to consume is .8
In an open economy, we know that individuals must choose between which of the following?
A) domestic bonds and foreign currency B) foreign goods and domestic currency C) domestic and foreign bonds D) domestic goods and foreign currency E) none of the above