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Social Science Clinic => Economics => Topic started by: jc611 on Sep 7, 2020

Title: The straight-line production possibilities curve introduced in the text
Post by: jc611 on Sep 7, 2020

Question 1

A production possibilities curve that is a straight line represents the case of
◦ increasing costs.
◦ constant opportunity costs but decreasing real costs.
◦ constant costs.
◦ decreasing costs.
◦ constant opportunity costs but increasing real costs.

Question 2

The straight-line production possibilities curve introduced in the text
◦ fails to benefit trading nations.
◦ is not subject to increasing opportunity costs.
◦ fails to reflect tradeoffs.
◦ refutes the principles of comparative advantage.
◦ All of the above.

Title: The straight-line production possibilities curve introduced in the text
Post by: joshraies on Sep 7, 2020

Answer 1

constant costs.

Answer 2

is not subject to increasing opportunity costs.