Which of the Following Statements Is False

question 26

Multiple Choice

Which of the following statements is false?

• A) If there are only two goods,guns and butter,it is possible to produce more of both goods through economic growth.
• B) If there are only two goods,guns and butter,it is possible to produce more of both goods if the economy is currently operating at a productive inefficient point.
• C) If there are only two goods,guns and butter,it is possible to produce more of both goods if the economy is currently operating at a productive efficient point.
• D) If there are only two goods,guns and butter,producing more of one means producing less of the other if the economy is currently operating at a productive efficient point.

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Definitions:

Balance of Trade

The difference in value between a country's imports and exports over a certain period, indicating how much more goods and services a nation exports than it imports.

Services

Intangible products such as consulting, banking, cleaning, and education that are consumed at the point of sale.

Goods

Physical items that are produced and can be bought, sold, or traded.

Sweatshop Labor

Work that is performed in poor conditions for low pay and often violates labor laws.