If production involves decreasing opportunity cost, the production possibilities curve
a. is "bowed inward."
b. is a straight line.
c. is "bowed outward."
d. is a wavy line.
e. has an unpredictable shape.
a
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Marginal cost is the ________ associated with a particular increase in an activity
A) additional cost B) opportunity cost C) forgone cost D) total cost
Special Drawing Rights are
a. a minor source of international reserves. b. available only to the Group of Seven nations. c. a collectively managed asset of the International Monetary Fund. d. All of these.
Under perfect competition
A. accounting profits are always zero in the long run. B. information about every possible economic opportunity is somewhat limited. C. the demand curve and the marginal revenue curve are identical. D. the firm has a limited amount of control over the market price.
When external scale economies exist in an industry, new trade opportunities will cause consumers
A. in the exporting country to gain but consumers in the importing country to lose. B. in both the exporting and importing countries to gain. C. in both the importing and exporting countries to lose. D. in the importing country to gain but the consumers in the exporting country to lose.