Question

46) A shift outwards of the nation's production possibilities frontier can occur due to: 46) A) a change in the amounts of one good desired. B) an increase in the labor force C) a natural disaster like a hurricane or bad earthquake D) a reduction in unemployment. 48) If a nation's production possibilities frontier moves outward, this represents: A) economic growth. B) an impossible situation. C) rising prices of the two goods on the production possibilities frontier model. D) a change in pr 48) g one good in favor of the other 49) Without an increase in the supplies of factors of production, how can a nation grow economically? 49)- A) Through technological advance which enables more output with the same resource supplies B) By increasing the price of factors of production C) By lowering the price of factors of production D) It cannot 50) A production possibilities frontier with a bowed outward shape indicates:50)_ A) decreasing opportunity costs as more and more of one good is produced. B) constant opportunity costs as more and more of one good is produced. C) the possibility of inefficient production. D) increasing opportunity costs as more and more of one good is produced. 51) Increasing opportunity cost along a bowed out production possibilities frontier occurs because 51)_ A) of ineffective management by entrepreneurs B) of the scarcity of factors of production. C) some factors of production are not equally suited to producing both goods or services. D) of inefficient production. 52) The important economic concepts illustrated by increasing opportunity costs is: 52) A) the more resources devoted to any activity, the smaller the payoff of devoting more resources to that activity B) the law of scarcity C) how easy it is to slip into inefficient production. D) the importance of production and exchange

Answer 1

46. Ans is B) an increase in labor force.

48. Ans is A) economic growth

49. Ans is A) through technological advances...

50. Ans is D) increasing opportunity costs as more and more of one good is produced.

51. Ans is C) some factor of production are not equally suited to producing both goods or services.

52. Ans is B) law of scarcity.