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-Refer to the Above Diagram

question 221

Multiple Choice

  -Refer to the above diagram.Which one of the following would shift the production possibilities curve from PP<sub>1</sub> to PP<sub>2</sub> A)  immigration of skilled workers into the economy B)  worsening of the AIDS epidemic C)  an increase in consumer prices D)  a reduction in the age of retirement.
-Refer to the above diagram.Which one of the following would shift the production possibilities curve from PP1 to PP2


Definitions:

Semi-Annual Compounding

The process of calculating interest on both the initial principal and the accumulated interest over two periods per year.

Par Value

The face value of a bond or stock, which is the amount paid back to the bondholder at maturity, or a nominal value of a share as stated in the corporation's charter.

Required Return

Required Return is the minimum rate of return an investor expects to receive from an investment considering its risk level.

Yield To Maturity

The total return expected on a bond if it is held until the maturity date, considering all payments from the bond including coupon and principal repayment.

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