________: the rate of substitution or trade-off between two inputs in the production of a specific product

Under a system of fixed exchange rates, what happens if a country's currency is overvalued?

A) The central bank loses official reserve assets. B) The central bank gains official reserve assets. C) The currency appreciates. D) The exchange rate rises.

Refer to the information provided in Figure 2.4 below to answer the question(s) that follow. Figure 2.4According to Figure 2.4, as the economy moves from Point B to Point D, the opportunity cost of motorcycles, measured in terms of hybrid cars,

A. increases B. remains constant. C. initially increases, then decreases. D. decreases.