Final Macroeconomics
Interest income is a factor payment to:
capital
Scarcity is an issue confronted by:
everyone
The term ________ refers to a group of buyers and sellers that are engaged in mutual beneficial exchanges.
exchange and trade
Productive efficiency is achieved when
firms produce goods and services at the lowest cost
The production possibilities curve illustrates the fact that
if all resources are fully and efficiently utilized, more of one good can be produced only by producing less of another good.
Wage income is a factor payment to
labour
The production possibilities frontier shows ________ combinations of two products that may be produced in a particular time period with available resources.
maximum attainable
Which of the following is an example of a public good or service? a. a television set b. a soda c. national security d. none of the above
national security
The two main characteristics of a public good are
nonrivalry and non excludability
The two main characteristics of a private good are:
rivalry and exclusive in consumption or use
The basic economic problem of ________ has always existed and will continue to exist.
scarcity
Allocative efficiency is achieved when firms produce goods and services
that consumers value most