When a nation is producing on its production possibilities frontier, if more resources are used to produce one good, then the production of other goods
A) must increase.
B) must decrease.
C) must remain the same.
D) must change but they might increase or decrease.
E) might increase if the nation can produce more efficiently.
B
Economics
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A decrease in money supply will lead to ________ if nominal wages are fixed
A) lower unemployment B) higher real wages C) higher output D) lower real wages
Economics
Based on the figure above, the aggregate supply curve shifts rightward and the potential GDP line does not change when
A) the money wage rate rises. B) the price level rises. C) the money wage rate falls. D) the price level falls. E) both the price level and money wage rate rise by the same proportion.
Economics