An analysis of production possibilities curves indicates that the reason why underdeveloped nations have difficulties increasing their economic growth rates is because:
a. low population growth rates mean fewer workers to produce food and other necessities.
b. their production possibilities curves shift in when resources are increased.
c. their production possibilities curves are positively sloped, unlike those in more developed economies.
d. they must cut back their already meager consumption levels to increase capital production.
e. the opportunity cost of shifting resources from consumption goods to capital goods is relatively low.
d
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Of the groups listed below, which is most likely to lobby for protection?
A) workers in importing industries B) workers in exporting industries C) consumers of imported goods D) producers in exporting industries
Diego's annual income increased from $20,000 to $25,000 . If Diego faces a 40 percent effective marginal tax rate, the $5,000 increase in income will expand his disposable income by
a. $2,000. b. $3,000. c. $3,600. d. $5,000.