Refer to the above production possibilities curves. Curve (a) is the current curve for the economy. Given production possibilities curve (a), point N suggests that the economy is:
A. using its available resources inefficiently.
B. attaining full employment but not full production.
C. attaining both full employment and full production.
D. attaining full production but not full employment.
Answer: C
Economics
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An increase in Meta's wealth from $3,000 to $6,000 raises her utility from 80 units to 100 units. If she is risk averse, with a wealth of $9,000 her utility might be
A) 99 units. B) 114 units. C) 120 units. D) 126 units.
Economics
The growth of total railroad mileage
(a) was far greater after the Civil War than before. (b) was maximized in miles built per decade before 1860. (c) was a free-market phenomenon, not subject to government subsidies. (d) was not subject to business cycle fluctuations.
Economics