Which combination of fiscal policy actions would most likely offset each other?

Because they combine high yield and high risk, junk bonds

A) should never be considered sound investments. B) may increase the overall yield of a portfolio containing stocks without an undue increase in risk. C) should be purchased only by risk lovers. D) None of the above.

One of the assumptions underlying the production possibilities curve for any given economy is that:

a. the state of technology changes. b. there is an unlimited supply of resources. c. there is full employment of resources when the economy is on the curve. d. goods can be produced outside the curve.