Suppose that an economy's labor became more productive between year 1 and year 2. We could conclude that this economy's
A. real GDP remained constant.
B. production possibilities frontier shifted outward.
C. production possibilities frontier shifted inward.
D. capital stock increased by 3%.
Answer: B
Economics
You might also like to view...
According to the benefit principle, the Social Security payroll tax is _____. According the ability-to-pay principle, the Social Security payroll tax is _____
a. equitable; equitable b. equitable; inequitable c. inequitable; equitable d. inequitable; inequitable
Economics
The concept of marginality is important in economics because
A) individuals make decisions at the margin. B) marginal decisions indicate a lack of importance. C) individuals make decisions based on tastes only. D) large expenditures are the only factor influencing consumption.
Economics