Refer to the graph below. An expansion of the economy's production possibilities can, by itself:





A. Never cause inflation

B. Never cause price level to fall

C. Cause a decrease in real output

D. Cause a decrease in employment level

A. Never cause inflation

Economics

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How is leisure counted in GDP?

A. a consumption B. as investment C. it is not counted in GDP D. as an intermediate good

Economics

Refer to Figure 2-5. If the economy is currently producing at point X, what is the opportunity cost of moving to point Y?

A) 14 million tons of steel B) 5 million tons of steel C) 5 million tons of paper D) 9 million tons of paper

Economics