The Production Possibilities Curve Is

question 160

Multiple Choice

The production possibilities curve is:

• A)​a graph that shows the combinations of output which are most profitable to produce.
• B)​a graph that shows the various combinations of output it is possible for an economy to produce given its available resources and technology.
• C)​a graph that shows the various combinations of resources that can be used to produce a given level of output.
• D)​a curve that shows the quantity of output that will be offered for sale at various prices.

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Definitions:

Risk Averse

A descriptive term for investors or individuals who prefer lower risk or uncertainties, often choosing investments with smaller potential returns to avoid losing money.

Retirement Savings Plan

A retirement savings plan is a financial arrangement designed to replace employment income upon retirement, which can include various types of accounts like 401(k)s and IRAs.

Tax-exempt Saving

An investment account or product that offers tax benefits, such as no taxation on the interest or profits earned.

529 Plan

A tax-advantaged savings plan designed to encourage saving for future education costs, including tuition, fees, and room and board.