If a Nation Devotes a Larger Share of Its Current

question 15

Multiple Choice

If a nation devotes a larger share of its current production to consumption goods, then

• A) it must produce at a point within its PPF.
• B) its PPF will shift inward.
• C) its PPF will shift outward.
• D) some productive factors will become unemployed.
• E) its economic growth will slow down.

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Definitions:

Monthly Payroll

The total amount of money paid by a business to its employees in a month, encompassing wages, salaries, and other compensations.

Salaries Payable

A liability account that records the amount of salaries due but not yet paid to employees.

Ceilings For Earnings

Limits set on the amount of income that can be considered for certain calculations, such as social security or pension benefits.

Defined Contribution

A type of retirement plan where the employer, employee, or both make contributions on a regular basis, but the final benefits received depend on the investment's performance.