Author Question: Assume that, given factors of production and existing knowledge and technology, it is not possible ... (Read 74 times)

bclement10 · **on:** Jun 30, 2018

Assume that, given factors of production and existing knowledge and technology, it is not possible to produce more of one good without foregoing the opportunity to produce some of another good. Economists would characterize this situation as:
a. inefficient.
b. efficient.
c. due to unemployment.
d. a point outside the production possibilities frontier.

Question 2

The long-run level of RGDP changes whenever the aggregate demand curve shifts.
a. True
b. False
Indicate whether the statement is true or false