When an Economy's Resources Are Not Fully Employed, Then It

question 71

Multiple Choice

When an economy's resources are not fully employed, then it must be true that the:

• A) production point is located outside and to the right of the production possibilities curve.
• B) production point is located along the production possibilities curve.
• C) production point is located inside and to the left of the production possibilities curve.
• D) production possibilities curve shifts to the right.
• E) production possibilities curve shifts to the left.

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Definitions:

Building's Custodian

A person responsible for the maintenance and upkeep of a building.

Cost of Goods Manufactured

The total cost incurred by a company to produce goods during a specific period, including materials, labor, and overhead costs.

Direct Labour Cost

The wages and benefits paid to workers who are directly involved in the production of goods or services.

Manufacturing Overhead Cost

All indirect costs related to the manufacturing process, including utilities, depreciation, and maintenance of equipment and facilities.