A Production Possibilities Curve Shows

question 104

Multiple Choice

A production possibilities curve shows

• A) that resources are unlimited.
• B) that people prefer one of the goods more than the other.
• C) the maximum amounts of two goods that can be produced, assuming the full use of available resources.
• D) combinations of capital and labor necessary to produce specific levels of output.

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Definitions:

Job-Related Criteria

The standards or qualifications required for performing a specific job, including skills, experience, and education.

Halo Effect

A cognitive bias where an individual's overall impression influences their judgment about specific traits or abilities.

Personal Opinion

An individual’s view or judgment formed about something, not necessarily based on fact or knowledge.

Contrast Error

A bias in performance appraisal that occurs when evaluations are influenced by comparing employees against each other instead of against objective standards.