If resources are better suited toward the production of one good than toward another good, then the PPF for those two goods is
A) a straight line.
B) bowed outward.
C) upward sloping.
D) any of the above
B
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How were macroeconomic balances different in the period from 2000 to 2007 from past financial crises?
What will be an ideal response?
If an increase in investment of $50 causes an increase in real GDP of $250, the value of the spending multiplier is:
A. 5. B. 0.20. C. 0.80. D. 10.
The existence of a deadweight loss associated with a monopoly can be seen because
A) consumers are willing to pay more for the last unit of output than it costs to produce. B) the cost of the last unit produced is more than consumers are willing to pay for it. C) the producer surplus is larger than in a competitive market. D) None of the above.
A total cost function will start
A. at the origin if there are fixed costs. B. on the vertical axis if there are no fixed costs. C. on the horizontal axis. D. on the vertical axis if there are fixed costs.