Author Question: With a good on each axis, the production possibilities frontier is downward-sloping, which suggests ... (Read 40 times)

a0266361136 · **on:** Jun 29, 2018

With a good on each axis, the production possibilities frontier is downward-sloping, which suggests

A) there is no limit to the amount of each good that can be produced.
B) the production of one good ultimately means sacrificing production of the other.
C) there are no opportunity costs of producing either of the goods.
D) All of the above are true.

Question 2

When a nation exports a good, its ________ surplus increases, and when it imports a good, its ________ surplus increases.

A) total; total
B) consumer; consumer
C) producer; producer
D) producer; consumer
E) total; consumer