When the economy experiences abnormally high unemployment,
A. There is macro instability.
B. The economy is producing on the production possibilities curve.
C. No market failure occurs.
D. There is government failure.
Answer: A
Economics
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A farm is able to produce 5,000 bushels of peaches per season on 100 acres. Assume it adds one more acre and is able to produce 6,000 bushels per season. The marginal product of the additional acre of land for this farm is:
A. 6,000 bushels per acre per year. B. 5,000 bushels per acre per year. C. 1,000 bushels per acre per year. D. 11,000 bushels per acre per year.
Economics
Rational production decisions require an understanding of
a. trade-offs.
b. opportunity costs.
c. scarcity of resources.
d. All of the above are correct.
Economics