If It Is Not Possible to Increase the Output of One

question 145

Multiple Choice

If it is not possible to increase the output of one good without decreasing the output of the other, when there are only two goods, then

• A)this situation would describe a point on a production possibilities frontier for the producer.
• B)the outcome can be described as efficient.
• C)there is no unemployment of resources.
• D)All of these outcomes are correct.

---

Definitions:

Comparable Bonds

Bonds that are similar in terms of interest rate, maturity, and credit quality, used as a benchmark to evaluate the value of other bonds.

Market Interest Rate

The market interest rate is the rate of interest that is commonly charged or paid on loans and bonds in the current market.

Coupon Rate

The interest rate paid by a bond issuer on the bond's face value, determining the periodic interest payments to bondholders.

Semiannually

Occurring twice a year; typically refers to payments, interest calculations, or periods within a financial context.