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C. there is an inverse relationship between grades in English and grades in math. D. one can get better grades in English only if one gets better grades in math. Ans: C AACSB: Reflective Thinking Bloom’s: Understand Difficulty: 02 Medium Learning Objective: 02-01 Topic: The Production Possibility Model Feedback: The negative slope of the production possibility curve implies that one can get better grades in English only by sacrificing better grades in math. [Question] 24. Given a production possibility curve for good X (on the x-axis) and good Y (on the y-axis), the opportunity cost of increasing good X is greatest when the slope of the production possibility curve is: A. –6. B. –4. C. 6. D. 4. Ans: A AACSB: Analytic Bloom’s: Analyze Difficulty: 03 Hard Learning Objective: 02-01 Topic: The Production Possibility Model Feedback: A slope of –6 means that one must give up 6Y to get 1X. A slope of –4 means that one must give up only 4Y to get 1X. [Question] 25. Refer to the graph shown. In the graph, the opportunity cost of good X in terms of good Y is:

A. higher along segment AB than along segment BC. B. lower along segment AB than along segment BC. C. the same everywhere on the two segments. D. always increasing as we move from A to C.

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Test Bank for Economics 10th Colander  

Test Bank Economics 10th Edition Colander 2017 (Test Bank Download) (9781259193156) (1259193152). Instant access. All chapter are included....

Test Bank for Economics 10th Colander  

Test Bank Economics 10th Edition Colander 2017 (Test Bank Download) (9781259193156) (1259193152). Instant access. All chapter are included....