Which of the Following Would Not Shift the Production Possibilities

question 147

Multiple Choice

Which of the following would not shift the production possibilities frontier?

• A)An increase in capital stock
• B)A war that destroyed many buildings
• C)A technological improvement that improved fuel efficiency in cars
• D)A decrease in the size of the labor force
• E)A change to a more inefficient production process

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Definitions:

Shares

Units of ownership interest in a corporation or financial asset, providing an equal distribution in any profits, if any are declared, in the form of dividends.

Trades

The act of buying, selling, or exchanging financial instruments, commodities, or other tangible or intangible items between parties.

Dividends

Payments made by a corporation to its shareholders, often derived from the company's profits, and distributed on a regular basis.

Earnings

The amount of profit that a company produces over a specific time period, typically reported as net income.