Asked by
Clarissa Marie
on Dec 11, 2024Verified
The production possibilities curve illustrates the basic principle that
A) an economy's capacity to produce increases in proportion to its population.
B) if the resources of an economy are being used efficiently, more of one good can be produced only if less of another is produced.
C) an economy will automatically seek the output at which all of its resources are fully employed.
D) the distribution of income among households is the major determinant of the economic welfare of a nation.
Production Possibilities Curve
A graphical representation showing the maximum combination of goods or services that can be produced with a given set of resources and technology.
Efficiently
The manner of achieving a goal or completing a task with the minimum waste of time and effort.
- Comprehend the principle of the production possibilities curve and its significance for economic productivity and expansion.
Verified Answer
MD
Learning Objectives
- Comprehend the principle of the production possibilities curve and its significance for economic productivity and expansion.
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