Exhibit 2-15 Production Possibilities Curve

question 2

Multiple Choice

Exhibit 2-15 Production possibilities curve
-In Exhibit 2-15, the production possibilities curve demonstrates:

• A) changing prices.
• B) economic growth.
• C) decreases in resources.
• D) the law of increasing opportunity costs.
• E) changing technology.

---

Definitions:

Strategic Global Partnerships

Collaborations between companies across different countries aimed at leveraging resources, knowledge, and markets to achieve mutual business goals.

North American Free Trade Agreement

A trilateral trade bloc agreement between Canada, Mexico, and the United States to reduce trading costs, increase business investment, and help North America be more competitive in the global marketplace.

Free Trade

An economic policy that allows imports and exports between countries with minimal or no tariffs, quotas, or prohibitions.

United States

A country located in North America, bordered by Canada to the north, Mexico to the south, the Atlantic Ocean to the east, and the Pacific Ocean to the west.