Points That Lie Below the Production Possibilities Curve Are Inefficient

question 25

Multiple Choice

Points that lie below the production possibilities curve are inefficient because:

• A) more of one or both goods could be produced using currently available resources without giving up production of another good.
• B) producers are not specializing.
• C) producers face scarcity.
• D) too many goods are being produced.

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Definitions:

Preconscious

A term in psychoanalytic theory referring to thoughts and feelings not immediately in conscious awareness but can be easily brought to consciousness.

Conscious

Conscious refers to the state of being aware of one's own existence, thoughts, emotions, and surroundings.

Superego

In psychoanalytic theory, the part of the personality that acts as the moral center, imposing ethical standards and social rules.

Reality Principle

A psychoanalytic concept that represents the ability of the mind to assess the external world and act upon it accordingly, as opposed to acting on the pleasure principle.