Dynamic Gains in Both the Stock of a Country's Resources

question 115

Multiple Choice

Dynamic gains in both the stock of a country's resources and the efficiency with which resources are utilized will:

• A) cause the country's production possibility frontier to assume a bell-shaped curve.
• B) enable the country to produce more goods than it did before the introduction of free trade.
• C) cause the country's production possibility frontier to shift inward.
• D) enable the country to achieve constant returns to specialization.
• E) diminish static gains that stagnate economic growth.

---

Definitions:

Retail Value

the price at which a product is sold to the end consumer in a retail market.

Barbie Doll

A popular fashion doll brand created by the American toy company Mattel, Inc., known for its diverse range of dolls and accessories.

Opportunity Cost

Abstaining from possible rewards offered by other selections upon choosing one.

Agricultural Output

The total production of crops, livestock, and other agricultural goods within a specific period, usually expressed in quantity or value terms.