This is dumb, my books and notes don't really go along with these economics questions, although they are very simple.
After Hurricane in Central America, we can assume that production possibility there temporarily .
1. became flatter
2. shifted outward, away from the origin
3. became steeper
4. shifted inward, toward the origin
What is the origin? Whatt? steeper towards the origin maybe?
A nation can consume at a point outside its PPF .
1. when it trades with other nations
2. never
3. when its PPF is bowed out
4. when it produces inefficiently
i'm pretty sure this one is trades with other nations, but just making sure.
Suppose people buy more of good 1 when the price of good 2 falls. These goods are .
1. complements
2. normal
3. inferior
4. substitutes
When demand decreases and supply does not change, the equilibrium price .
1. falls and the equilibrium quantity decreases
2. rises and the equilibrium quantity increases
3. rise
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