A Production Possibilities Curve Will Be Concave as Opposed to Straight

question 20

Multiple Choice

A production possibilities curve will be concave as opposed to straight line if

• A)​the law of increasing opportunity costs applies.
• B)​some resources cannot be easily adapted to different tasks.
• C)​the opportunity cost of the production of a good increases as more of it is produced.
• D)​all of the above

---

Definitions:

Payroll Tax

Taxes imposed on employers and employees, calculated as a percentage of the salaries that employers pay to their staff.

Regressive

A term typically used to describe tax systems that take a smaller percentage of income as income increases, disproportionately affecting lower-income earners.

Low Income Levels

describe the economic condition where individuals or households earn less than the median income of a specific geographic area, often leading to limited access to basic needs and services.

Corporate Profits Tax

A tax imposed on the net income of corporations.