Question : 61) Economic growth will most likely occur when A) a society : 1381327

61) Economic growth will most likely occur when

A) a society acquires new resources.

B) a society decides to produce less using existing resources.

C) the society begins to produce the combination of goods society wants most.

D) technology remains unchanged but unemployment increases.

Refer to the information provided in Figure 2.6 below to answer the questions that follow.

Figure 2.6

62) Refer to Figure 2.6. An increase in the economy’s capital stock is represented by a

A) shift from ppf2 to ppf1.

B) shift from ppf1 to ppf2.

C) movement along ppf1.

D) movement along ppf2.

63) Refer to Figure 2.6. A shift from ppf1 to ppf2 may be caused by

A) an increase in inflation.

B) an increased desire for consumer goods.

C) a change in consumer tastes.

D) an improvement in technology.

64) Refer to Figure 2.6. Which of the following will shift an economy’s production possibility frontier from ppf2 to ppf1?

A) a decrease in the economy’s capital stock

B) an increase in production efficiency

C) a change in consumers’ tastes

D) economic growth

65) Refer to Figure 2.6. Which of the following will NOT cause the production possibility frontier to shift from ppf1 to ppf2?

A) a decrease in the unemployment rate, assuming a constant labor force.

B) an increase in the stock of capital

C) the discovery of previously unknown natural gas sources

D) an improvement in technology

66) Refer to Figure 2.6. Which of the following is most likely to shift the production possibility frontier from ppf2 to ppf1?

A) a change in consumer tastes

B) the purchase of government Treasury bills

C) moving resources from consumer goods to capital goods

D) a decrease in the general educational level of the population

67) Refer to Figure 2.6. If the economy is at ppf2, a change in consumer preferences would be shown by a

A) shift from ppf2 to ppf1.

B) movement along ppf1.

C) movement along ppf2.

D) shift from ppf1 to ppf2.

68) Due to a mild winter, Florida experienced a bumper crop of oranges. This would best be represented by a(n)

A) movement down the U.S. production possibility frontier.

B) movement off the U.S. production possibility frontier to some point inside the frontier.

C) movement up the U.S. production possibility frontier.

D) outward shift of the U.S. production possibility frontier away from the origin.

69) For an economy to produce at a point ________ current production possibility frontier, the economy must increase its resource base.

A) higher up on its

B) inside its

C) beyond its

D) which is optimally efficient on its

70) In terms of the production possibility frontier, ________ would best be shown by the production possibility frontier shifting outward.

A) an increase in productivity attributable to new technology

B) a decrease in the unemployment rate

C) a shift in resources from capital goods to consumer goods

D) a change in consumer tastes