Macro Test 1 Review

A nation can produce two products: tanks and autos. The table below is the nation's production possibilities: Refer to the picture of the table. According to the prbduction possibilities schedule, a combination of 4 tanks and 650 autos is:

Not attainable because the nation does not have sufficient resources

A positive statement is one that is:

O objective and is based on facts.

A nation can produce two products: tanks and autos. The table below is the nation's production possibilities:

OIs attainable but entails some unemployment or inefficient use of society's resources

(Consider This) At fast-food restaurants:

decisions entail comparisons of marginal costs and marginal benefits.

A nation's consumption is strictly limited by its production possibilities, even with international trade,

False

A point inside a production possibilities frontier

is attainable but some resources are waisted

A country can achieve some combination of goods outside its production possibilities curve by:

specializing and engaging in international trade.

(Consider This) An exception to the advice "go to college, stay in college, and earn a degree" occurs when:

the opportunity cost of attending college is extraordinarily

In the figure are two linear production possibilities curves for countries Alpha and Beta, We can conclude that:

the opportunity cost of shelter is greater in Alpha than it is in Beta.

Refer to the diagram. If society is currently producing 9 units of bicycles and 4 units of computers and it now decides to increase computer output to 6, the cost:

will be 4 units of bicycles.