A Realistic Production Possibilities Curve

question 28

Multiple Choice

A realistic production possibilities curve:

• A) is concave while a simple PPF has constant opportunity costs.
• B) is straight lined while a simple PPFhas constant opportunity costs.
• C) is straight lined while a simple PPF is bowed outward.
• D) is concave while a simple PPFhas increasing opportunity costs.

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Definitions:

Merchants

Individuals or businesses engaged in the sale of goods and services, especially in the retail sector.

Lemon-Law

Consumer protection laws that provide a remedy for purchasers of cars and other consumer goods that fail to meet standards of quality and performance.

Standards of Quality

Established benchmarks that define the specific requirements, specifications, and guidelines to ensure that materials, products, processes, and services are fit for their purpose.

Remedy

A legal means to enforce a right or redress a wrong, such as damages, injunction, or specific performance.