Which of the Following Is True When an Economy Is

question 98

Multiple Choice

Which of the following is true when an economy is producing efficiently?

• A)The economy is producing on the production possibilities curve.
• B)The economy is producing outside the production possibilities curve.
• C)The economy is getting the fewest goods and services from the available resources.
• D)Everyone in the economy is happy.

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Definitions:

Investee

A company in which an investor holds a minor equity or debt stake, implying a level of influence but not full control.

Fair Value

An estimate of the market value of an asset or liability, based on the current price to sell an asset or settle a liability in an orderly transaction.

Controlling Influence

The power or authority to govern or direct the management and policies of another entity without necessarily having majority ownership.

Voting Stock

Shares that give the shareholder the right to vote on matters of corporate policy and the election of the board of directors.