Suppose That an Economy Can Produce Various Combinations of Fish

question 154

Multiple Choice

Suppose that an economy can produce various combinations of fish and bread. If more people with strong fishing skills became employed in this economy, how would the production possibilities curve (PPC) change?

• A) The PPC would shift outward on the fish axis, but would not change on the bread axis.
• B) The PPC would shift outward equally along both the fish and the bread axes.
• C) The PPC would shift inward on the bread axis, but would not change on the fish axis.
• D) The PPC would shift inward equally along both the fish and the bread axes.

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