A Production Possibilities Curve Has a Downward Slope Because

question 180

Multiple Choice

A production possibilities curve has a downward slope because

• A)increased production of one good always reduces the additional profit of production.
• B)decreased production of one good is associated with lower profit from that good.
• C)economists have a negative view of life and human nature.
• D)increased production of one good always reduces production of the other.
• E)increased production of one good necessarily causes production of other goods to increase.

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Definitions:

Drive-Reduction Theory

A theory in psychology that explains motivation as being based on the goal of eliminating uncomfortable states.

Boredom

A state of mind characterized by a perceived lack of interest in one's surroundings, leading to feelings of frustration or disengagement.

Motivational Theories

Theories that seek to understand, explain, and predict how and why people are motivated to act in certain ways under various conditions.

Arousal Theory

A theory in psychology that suggests that people are motivated to maintain an optimal level of arousal, which can vary from one person to another.