A point lying inside the production possibilities curve [PPC] is not an attainable combination

An externality occurs when ________

A) the quantity demanded of a good exceeds the quantity supplied B) the quantity supplied of a good exceeds the quantity demanded C) the government regulates production and consumption decisions D) an economic activity affects third parties not engaged in the activity

One of the primary reasons that Mexico has had trouble attracting foreign investment and has therefore experienced relatively low rates of economic growth is

A) poor public education and health. B) the failure to enforce the rule of law. C) low rates of saving and investment. D) persistent wars between Mexico and its neighboring countries.