Which one of the following is most likely to result in a shift of a country’s production possibility frontier (PPF) to the left?
a decrease in consumer confidence
an increase in the unemployment rate
an increase in the number of people retiring from employment
a change in consumer preferences towards bigger houses
Consider the following information about the production possibilities for a hypothetical economy. Combination 1: Good A(kg) = 1000 Good B (kg) = 0 Combination 2: Good A(kg) = 950 Good B (kg) = 2000 Combination 3: Good A(kg) = 700 Good B (kg) = 450 Combination 4: Good A(kg) = 250 Good B (kg) = 525 Combination 5: Good A(kg) = 0 Good B (kg) = 550 Based on this information, the opportunity cost of increasing production of Good A from 250 kg to 700 kg is
75 kg of Good B.
450 kg of Good A.
450 kg of Good B.
700 kg of Good A.
Which one of the following factors is likely to result in a shift of the supply curve for fresh vegetable juices to the right?
an increase in interest rates
an increase in the price of vegetables
an increase in the wages paid to employees
an increase in the profitability for juice-making firms
An increase in the price of coffee would result in an expansion along the supply curve for coffee because
the wages of the coffee farmers have decreased.
the quantity demanded will fall as the price increases.
the price of fertiliser, which is needed to grow the coffee, has increased.
the profitability associated with coffee production has increased.
Economic growth may be considered excessive if
it raises too much tax revenue.
it results in a fall in the inflation rate.
it causes the current account to move towards a deficit.
it causes an increase in the number of people finding meaningful work.
Hidden unemployment is likely to increase when
the participation rate increases.
the number of job vacancies decreases.
it is harder to access unemployment benefits.
there is an increase in the number of people working part-time.
Consider the following Consumer Price Index (CPI) data for a hypothetical economy between the years 2019 and 2022: Year 2019 (100), Year 2020 (103), Year 2021 (105), and Year 2022 (104) Based on the information above, which one of the following statements is false?
The country experienced deflation in 2022.
The country experienced deflation in 2021 and 2022.
The country experienced disinflation in 2021.
On balance, over the four-year period, the general level of prices rose.
Credits in the financial account are likely to increase if
Australia’s saving rate increases.
the Australian Government runs a large budget deficit.
the cost of production for Australian producers decreases.
the prices of Australia’s commodity exports increase in world markets.
The value of the Australian dollar is likely to increase if
Australia’s credit rating decreases.
the price of commodity exports falls.
there is an increase in primary income debits.
speculators believe that the currency will appreciate.
Consider the table below, highlighting the tax payable in three different tax systems. Gross income ($) Tax system 1(Tax payable)– Tax system 2(Tax payable) – Tax system 3 (Tax payable)