Leverage refers to a firm's

For this question, assume that a country experiences a permanent increase in its saving rate. Which of the following will occur as a result of this increase in the saving rate?

A) a permanently faster growth rate of output B) a permanently higher level of output per capita C) a permanently higher level of capital per worker D) all of the above E) both B and C.

A country currently is using all its land to produce wheat and grapes. However, the land most suited to growing grapes is being used to produce wheat, and the land most suited to growing wheat is being used to produce grapes. Which of the following statements is true?

a. The country is operating outside of its production possibilities frontier. b. The country is operating along its production possibilities frontier. c. Wheat production must be sacrificed if the country increases grape production. d. Grape production must be sacrificed if the country increases wheat production. e. The country is operating inside its production possibilities frontier.