The difference between producer surplus and profit is always the associated

Moving from one point to another on a production possibilities frontier implies

A) increasing the production of both goods. B) changing the amount of factors of production that are employed. C) decreasing the production of both goods. D) increasing the production of one good and decreasing the production of another. E) holding the production levels of both goods constant.

If the interest rate on saving is 5 percent per period, then the true opportunity cost of being paid $100 next period instead of this period is

a. $5. b. $105. c. less than $5 if people suffer from a "defective telescopic faculty." d. more than $5 if people suffer from a "defective telescopic faculty."