) ListenSome points on the production possibility curve represent less than full employment and thus the optimalcombination of resources should be found based on a society's resource endowments.TrueFalseListenThe statement in a newspaper that "consumer prices rose last month by 1 percent,and if this trend continues, the annual rate of inflation will be 12 percent for theyear" is an example of a normative economic statement.1) True2) False) ListenA society will put more investment on consumer goods than capital goods if it values more of presenthappiness than future happiness.TrueFalseListenBudget lines and production possibility curves have a common assumption of increasing opportunity costs.TrueO FalseListenAs long as marginal benefit exceeds marginal cost, any economic activity is optimal.1) True2) False

We will answer the first question only. Please resubmit the other questions separately in case you…

) Listen Some points on the production possibility curve represent less than full employment and thus the optimal combination of resources should be found based on a society's resource endowments. True False

) Listen Some points on the production possibility curve represent less than full employment and thus the optimal combination of resources should be found based on a society's resource endowments. True False

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

) Listen
Some points on the production possibility curve represent less than full employment and thus the optimal
combination of resources should be found based on a society's resource endowments.
True
False
Listen
The statement in a newspaper that "consumer prices rose last month by 1 percent,
and if this trend continues, the annual rate of inflation will be 12 percent for the
year" is an example of a normative economic statement.
1) True
2) False
) Listen
A society will put more investment on consumer goods than capital goods if it values more of present
happiness than future happiness.
True
False
Listen
Budget lines and production possibility curves have a common assumption of increasing opportunity costs.
True
O False
Listen
As long as marginal benefit exceeds marginal cost, any economic activity is optimal.
1) True
2) False

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