Technological Advance Is Shown as A(n)

question 21

Multiple Choice

Technological advance is shown as a(n)

• A) movement from a point inside a production possibilities curve to a point on the curve.
• B) movement along a production possibilities curve.
• C) outward shift of a production possibilities curve.
• D) inward shift of a production possibilities curve.

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Definitions:

Product-Variety Externality

Occurs when the introduction of new products benefits consumers by expanding their choices, often leading to positive market effects.

Introduction

The initial section or the beginning part of a document, presentation, or text, aiming to give an overview or background of the subject matter.

Long-Run Equilibrium

A state where supply equals demand and all markets are in balance, typically achieved over a period where all inputs can be adjusted.

Perfectly Competitive

A market structure characterized by a large number of small firms, with free entry and exit, where no single firm can influence the market price.