An Economy Is Productive Efficient If It Produces

question 12

Multiple Choice

An economy is productive efficient if it produces

• A) more than enough food to feed everyone.
• B) more goods and services in each successive year.
• C) maximum output with given resources and technology.
• D) enough output so that no one lives in poverty.

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Definitions:

Unemployed Resources

Assets, labor, or capital that are available but not currently being used in the production of goods or services.

Production Possibilities Frontier

A graphical representation that shows the maximum possible output combinations of two goods or services an economy can achieve when all resources are fully and efficiently utilized.

Technological Improvement

Technological Improvement refers to advancements in technology that increase productivity and efficiency in the production of goods and services.

Inefficient Production

The process of producing goods or services in a way that uses more resources or takes more time than necessary, leading to wasted potential outputs.