7) A country cannot produce a mix of products with a higher value than whereA) theisovalue line is tangent to the production possibility frontier.B) theisovalue line intersects the production possibility frontier.C) theisovalue line is above the production possibility frontier.D) theisovalue line is below the production possibility frontier.E) theisovalue line is tangent with the indifference curve.

3. If country 1’s production possibility frontier was steeper to the x-axis than that of country 2,we know that ________.A) country 1 has higher marginal productivity in good in x-axis than country 2B) country 1 has lower marginal productivity in good in x-axis than country 2C) country 1 has absolute advantage in good in x-axisD) None of above is correct

In the second of the three ranges of production:Question 22Select one:a.the total product curve has an increasing slope.b.the marginal product curve has a negative slope.c.the marginal product curve intersects the total product curve.d.marginal product is negative.

When production is characterized by constant opportunity costs, the resulting production possibilities frontier will be a __ line.Multiple choice question.horizontalstraightverticalcurved

The line (or curve) that represents the combinations of the two goods produced on the production possibilities frontier is a boundary between output levels that are and output levels that are unattainable. (Remember - use only one word to fill in the blank.)

The point of tangency between an isocost line and an isoquant is necessarilyGroup of answer choicesthe profit-maximizing combination of inputs that should be hired to produce that output level.the least costly combination of inputs that can be hired to produce the output level.both the profit-maximizing and least costly combination of inputs that can be used to produce the output level.the minimum amount of output that can be attained for that level of expenditure.