Gabriel operates a ranch in Idaho where he raises cattle and grows potatoes. The figure above illustrates his production possibilities frontier. What is Gabriel's opportunity cost of growing another ton of potatoes?

If a significant portion of firms in the economy does not immediately adjust product prices, then the short-run aggregate supply curve

A) slopes downward. B) slopes upward. C) is horizontal. D) is vertical.

Suppose a manufacturer of software develops a new computer program that sells for $50. The $50 cost includes $0.25 for the CD it is stored on, $5 for the labor of the company software programmers, and $1.75 for packaging materials and transportation costs. Value added by the software company is

A) $49.75. B) $48.25. C) $48. D) $44.75.