Author Question: Which of the following would cause an economy to produce at a point inside its production ... (Read 70 times)

urbanoutfitters · **on:** Jun 29, 2018

Which of the following would cause an economy to produce at a point inside its production possibilities curve?

A) the efficient allocation of all factors of production
B) population growth
C) unemployment and an inefficient use of available resources
D) capital accumulation

Question 2

Using the interest rate as a measure of the opportunity cost of holding money, the demand for money curve

A) slopes upward with respect to the rate of interest.
B) is not affected by the price level.
C) slopes downward with respect to the rate of interest.
D) is vertical.