-The Above Table Shows Production Combinations on a Country's Production

question 332

Multiple Choice

-The above table shows production combinations on a country's production possibilities frontier. What is the opportunity cost of one unit of Y when the production of good Y increases from 16 to 28 units?

• A) 4 units of good X per unit of good Y
• B) 3 units of good X per unit of good Y
• C) 1/4 unit of good X per unit of good Y
• D) There is no opportunity cost when moving from one point to another along a production possibilities frontier.

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Definitions:

Federal Government Revenues

The income received by the federal government from various sources, such as taxes, fees, and investments.

Individual Income Tax

A tax levied on the income of individuals, including wages, salaries, and investment returns.

Clothing Tax

A specific tax imposed on the sale or purchase of clothing, which can vary by jurisdiction.

Proportional Tax

A tax system where the tax rate remains constant regardless of the amount subject to tax.