If a Country Must Decrease Current Consumption to Increase the Amount

question 382

Multiple Choice

If a country must decrease current consumption to increase the amount of capital goods it produces today, then it must

• A) be using resources inefficiently today, but will be more efficient in the future.
• B) be producing along the production possibilities frontier today and its production possibilities frontier will shift outward if it produces more capital goods.
• C) must be producing outside the production possibilities frontier and will continue to do so in the future.
• D) must not have private ownership of property and will have to follow planning authorities' decisions today and in the future.

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Definitions:

Positively Reinforcing

Providing a favorable or desirable outcome following a behavior, which increases the likelihood of that behavior being repeated.

Internal Representational Systems

The mental processes involved in how individuals perceive, represent, and store information from the world around them.

Efficacy

The ability to produce a desired or intended result; often used in the context of individual capabilities or the effectiveness of interventions.

Vicarious Experiences

Learning that occurs by observing the actions and outcomes of others' behavior, without direct personal experience.