In economics terminology, the process of accumulating money is investment.
a. True
b. False
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QUESTION 2Investment in capital accumulation, as well as investment in education and other labor productivity enhancing programs, is necessary for economic growth.
a. True
b. False
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QUESTION 3A nation can accelerate economic growth by increasing its production of consumer goods.
a. True
b. False
Indicate whether the statement is true or false
QUESTION 4Assuming an economy is already experiencing full employment, then it must produce more consumer goods and fewer capital goods if it wishes to experience greater rates of economic growth over time.
a. True
b. False
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QUESTION 5A nation's current location on its production possibilities curve can determine the future location of that nation's production possibilities curve.
a. True
b. False
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QUESTION 6All points on the production possibilities curve represent efficient levels of production.
a. True
b. False
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QUESTION 7On the production possibilities curve, a movement between points that yields a loss of one good in order to raise the output of another good will maintain efficient production.
a. True
b. False
Indicate whether the statement is true or false
QUESTION 8The most efficient point on the production possibilities curve is the midpoint on the curve.
a. True
b. False
Indicate whether the statement is true or false
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