An economy's production possibilities curve depicts different combinations of goods that can be
a. consumed by households in the economy since households are the suppliers of resources
b. consumed by firms in the economy since firms actually do the producing
c. produced in the economy with the available technology and resources
d. produced and consumed by firms since they are the sole source of production in the economy
e. bought and sold by both firms and households on the resource market
C
Economics
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Refer to Figure 12-10. At the profit-maximizing output level, the firm earns
A) zero economic profit. B) a profit of $600. C) a profit of $1,200. D) a profit of $2,700.
Economics
If all resources were perfectly adaptable for alternative uses, the production possibilities curve would
A) be bowed out. B) be bowed in. C) be a straight line. D) not exist.
Economics