Why Is It Inefficient for an Economy to Be Inside

question 160

Essay

Why is it inefficient for an economy to be inside the production possibilities frontier?

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Definitions:

Draft

A preliminary version of a written document or an order for a bank to pay a specified sum from the drawer's account.

Unconditionally

Without any conditions or limitations.

Liquefied Natural Gas

Natural gas that has been cooled down to liquid form for ease and safety of non-pressurized storage or transport.

Variable Rate

A variable rate refers to an interest rate that changes periodically over the life of a loan or financial instrument based on an underlying benchmark interest rate or index.