The Production Possibilities Curve Illustrates the Basic Principle That

question 112

Multiple Choice

The production possibilities curve illustrates the basic principle that

• A)an economy's capacity to produce increases in proportion to its population.
• B)if all resources of an economy are in use, more of one good can be produced only if less of another is produced.
• C)an economy will automatically seek that output at which all of its resources are employed.
• D)no opportunity cost exists in production.

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Definitions:

Electronic Exchanges

Online platforms where buyers and sellers can meet to trade goods, services, or securities.

Transactions

The action of conducting business, trading, or an exchange between parties.

Buyers

Individuals or entities that purchase goods or services for personal use, resale, or as part of a business operation.

Sellers

Individuals or entities that offer goods or services for sale to consumers or other businesses.