A Production Possibilities Frontier Demonstrates That

question 37

Multiple Choice

A Production Possibilities Frontier demonstrates that:

• A) a large number of combinations of inputs can produce the same level output
• B) a large number of output combinations can be produced with the same level of inputs.
• C) costs of production remain constant at all levels of output
• D) revenues remain constant at all levels of output

---

Definitions:

Improvidence

Lack of foresight or care in managing finances, often leading to unnecessary expenditure or loss.

Capacity

The legal ability of a party to enter into a contract.

Severely Intoxicated

A state of being under the influence of alcohol or drugs to a significant degree, impacting cognitive and physical abilities.

Capacity

In law, the ability of an individual to enter into a contract, evidenced by their being of sound mind and of legal age, or by a business to enter into agreements.