The best no-trade point for a country on an increasing cost production possibilities curve is where: ( )
A: the curve touches the vertical axis.
B: the curve touches the horizontal axis.
C: the origin.
D: the curve touches the highest indifference curve.
A: the curve touches the vertical axis.
B: the curve touches the horizontal axis.
C: the origin.
D: the curve touches the highest indifference curve.
举一反三
- A nation maximizes satisfaction by reaching the highest possible indifference curve， and in the absence of trade will produce where its production possibilities schedule is tangent to an indifference curve.（ ）
- A rise in the price of imports or a fall in the price of exports will A: improve the terms of trade B: worsen the terms of trade C: Expand the production possibilities curve D: Contract the production possibilities curve
- If an economy is represented by a point inside its production possibilities curve:
- When a regulatory agency requires a monopolist to use average cost pricing, the intent is to price the product where the: A: AC curve intersects the MR curve. B: AC curve intersects the demand curve. C: MR curve intersects the demand curve.
- In the absence of trade, a nation is in equilibrium where a community indifference curve: