Suppose the Economy Goes from a Point on Its Production

question 25

Multiple Choice

Suppose the economy goes from a point on its production possibilities frontier (PPF) to a point directly to the left of it.Assuming that the PPF has not shifted,this could be due to

• A)a gain of resources.
• B)a loss of resources.
• C)technological improvement in the production of both goods.
• D)a new law that interferes with productive efficiency.

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Definitions:

Workers

Individuals engaged in a particular activity or employment, either for wages or as part of a specified task.

Demotion

The action of reducing someone's rank, status, or position, often as a disciplinary measure or organizational restructuring.

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The right to express one's opinions and ideas without fear of government retaliation or censorship.

Pay Package

The total compensation, including salary, benefits, bonuses, and any other financial rewards, offered to an employee by an employer.