The production possibilities curve for the nation of Economania shifts to the right. This could have been caused by:
A. a decrease in Economania's capital stock.
B. technological innovation in the production of Economania goods.
C. high unemployment in Economania the previous time period.
D. Economania producing all consumer goods in the previous period.
Answer: B
You might also like to view...
If the slope of the consumption schedule is 0.75, then the slope of the saving schedule is
A. 0.75. B. 1.25. C. 0.25. D. not possible to determine from the data.
The amount of time it takes Congress to debate the size of a tax cut is known as the
A) recognition time lag. B) action time lag. C) effect time lag. D) Ricardian-equivalence time lag.
Suppose the working-age population of a fictional economy falls into the following categories: 30 are retired; 45 are stay-at-home parents; 120 are employed full time; 40 are employed part time; 25 are unemployed but are actively looking for
employment; 15 are unemployed and are not actively looking for employment. The official unemployment rate as calculated by the BLS would be A) 9.62%. B) 13.51%. C) 14.55%. D) 20.0%.
If total cost at Q = 0 is $100 and total cost at Q = 10 is $500, then average variable cost at Q = 10 is
a. $500 b. $400 c. $50 d. $40 e. $10