Econ Final Exam Questions with 100% correct answers

Which of the following is an example of using physical capital to save time and money? - correct answer Building extra space in a factory to simplify production. Every decision involves tradeoffs because what? - correct answer Everyone's resources are limited Production possibilities curve shows the relationship between the production of... - correct answer Any two categories of goods An economy that is producing the maximum amount of goods and services is considered... - correct answer Efficient A music store holds a one day half price sale on all CDs, consumers react to the sale by buying more CDs than on a typical day, this action is an example of what? - correct answer Law of Demand The graph shows how many schools and new roads the city can build by using all of its factor resources, what does the production possibilities curve show? - correct answer As the number of schools increase, roads decrease