The assumptions of the Production Possibilities Frontier Model include:
a. Output is limited to just two broad classes of products: consumer goods and capital goods.
b. The time period is any time period of any length.
c. Society's knowledge changes each year.
d. Rules of the game are allowed to change.
a
Economics
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The money supply curve is vertical because
a. real income does not influence the quantity of money supplied b. the price level does not influence the level of spending c. only the interest rate influences the quantity of money supplied d. the Federal Reserve sets the money supply e. nominal income does not influence the quantity of money supplied
Economics
Any two goods are said to be _____ if they are consumed jointly in a specific proportion
a. perfect complements b. merit goods c. perfect substitutes d. public goods
Economics