Which of the following statements is an explanation for the law of increasing opportunity costs?
A. Many economic resources are better at producing one product rather than another
B. The economy is employing all of its available resources
C. In any economy, the state of technology is changing and resources are variable
D. The economy is achieving productive efficiency by producing goods at the least cost
Answer: A
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Which of the following is NOT an entitlement?
A) federal government salaries B) Medicare C) Medicaid D) Social Security
Which of the following will restore an economy to full employment, if it is operating below full employment due to a decrease in net exports?
A) A reduction in the investment in the economy B) A reduction in the demand for goods and services in the economy C) A decrease the real exchange rate D) An increase in the interest rate