Table 23 -Refer to Table 2

question 157

Multiple Choice

Table 2.3
$$\begin{array}{l}\text { Table } 2.3\\\begin{array} { | l | l | l | l | l | l | } \hline \text { Products } & \text { A } & \text { B } & \text { C } & \text { D } & \text { E } \\\hline \text { Capital goods } & 0 & 1 & 2 & 3 & 4 \\\hline \begin{array} { l } \text { Consumer } \\\text { goods }\end{array} & 40 & 35 & 20 & 7 & 0 \\\hline\end{array}\end{array}$$
-Refer to Table 2.3, which shows the production possibilities frontier between the production of capital goods and consumer goods in an economy. If this economy produced 4 units of capital goods, what can be stated of its production of consumer goods?

• A) It represents unemployment of resources.
• B) It represents zero production of consumer goods.
• C) It would not represent an efficient combination of goods.
• D) It cannot be reached using available technology.
• E) It is less desirable than a point inside the frontier.