Suppose an Economy Produces Only Two Goods, Computers and TVs

question 111

Multiple Choice

Suppose an economy produces only two goods, computers and TVs. If the economy operates at a point on its production possibilities curve, it can produce more computers only if

• A) it also produces more TVs.
• B) it charges more for TVs.
• C) it shifts to a point inside its production possibilities curve.
• D) it produces fewer TVs.

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