Which of the Following Would Shift a Nation's Production Possibilities

question 72

Multiple Choice

Which of the following would shift a nation's production possibilities frontier inward?

• A)discovering a cheap way to convert sunshine into electricity
• B)producing more capital equipment
• C)an increase in the unemployment rate
• D)a law requiring workers to retire at age 50

Explain the role of diminishing returns in affecting the marginal productivity and rental prices of factors of production.

Connect economic concepts to real-world scenarios involving natural disasters, technological changes, and demographic shifts.

Understand the basic characteristics of an oligopolistic market, including the number of sellers.

Distinguish the problems faced by oligopolies with different numbers of members.

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Definitions:

Capital Loss

A reduction in the value of an investment relative to its purchase price.

Rate of Return

The profit or deficit achieved from an investment throughout a certain period, presented as a proportion of the original investment amount.

Cumulative Loss

The total amount lost over a period, taking into account all losses incurred during that time.

Rate of Return

The financial return or shortfall from an investment across a defined span, shown as a percentage of the investment's original price.