As you move down the production possibility frontier, the absolute value of the marginal rate of transformation
A. increases.
B. initially decreases, then increases.
C. decreases.
D. initially increases, then decreases.
Answer: A
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The economy pictured in the figure has a(n) ________ gap with a short-run equilibrium combination of inflation and output indicated by point ________. 
A. recessionary; A B. recessionary; C C. recessionary; B D. expansionary; A
The above figure shows the market for steel ingots. The optimal quantity of pollution
A) is 0 units. B) is 50 units. C) is 100 units. D) cannot be determined from the information provided.
Which of the following statements presents accurate information about the Standard Oil merger?
a. The Standard Oil merger is an example of a vertical merger. b. Standard Oil was initially organized as a holding company. c. The petroleum refining industry was never particularly competitive, and was dominated by a few large firms even prior to the Standard Oil merger. d. Following the merger, Standard Oil controlled 90 percent of U.S. refining capacity. e. All of the above.
Under the national Acid Rain Program (ARP)
a. two phases were defined that began in 1980 b. a cap-and-trade program was defined only for SO2 c. a cap-and-trade program was defined for both SO2 and NOX d. the EPA issued emission allowances that could be used or banked, but not traded