In a planned economy, the means of production are owned by private individuals.

An increase in the unemployment rate may be represented as a movement from a point on the production possibilities frontier to a different point on the frontier

Indicate whether the statement is true or false

Patents have been defended by some on the grounds that they stimulate inventive activity. Others have argued for changes in current patent laws because:

a. resources are misallocated by the grant of a patent monopoly b. patents may not be necessary to encourage inventive activity c. the current patent monopoly period (17 years) is too short to encourage any inventive activity. d. a and b only e. all of the above