Exhibit 2-7 Production Possibilities Curve for the Economy Shown

question 76

Multiple Choice

Exhibit 2-7 Production possibilities curve For the economy shown in Exhibit 2-7 to operate at point C, it must:

• A)be willing to lower the price of grain.
• B)use its given resources more efficiently than it would at point A.
• C)experience resource unemployment.
• D)experience an increase in its resources and\or an improvement in its technology.