Which of the following could cause the production possibilities frontier to shift to the right?
a. More government regulation that stunts economic growth
b. Changes in the rules of the game that stunt economic growth
c. Lower quality resources
d. Fewer productive resources
e. Production of more capital goods and fewer consumer goods
QUESTION 2Ersatz Kreme will sell its filling to Hunky Donuts only if Hunky Donuts agrees not to buy filling from other suppliers. This is an example of:
a. price discrimination.
b. exclusive dealing.
c. a tying contract.
d. interlocking directorates.
QUESTION 3Barter is the direct exchange of goods and services for:
a. any kind of money.
b. other goods and services.
c. either goods or money.
d. commodity money.
e. foreign currency.
QUESTION 4Long-term growth in production can be explained by:
a. an improvement in the quality of resources available.
b. a gradual but consistent rise in the price level.
c. a rapid and accelerating increase in the price level.
d. a trade surplus that leads to the accumulation of gold.
e. the peaks and troughs of economic fluctuations.
QUESTION 5A manufacturer will sell its product only to retailers who agree to buy its brand. This is an example of:
a. price discrimination.
b. exclusive dealing.
c. a tying contract.
d. interlocking directorates.
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