Scenario 4-1 In a Given Year, Country a Exported $12 Million Worth

question 5

Multiple Choice

Scenario 4-1
In a given year, country A exported $12 million worth of goods to country B and $6 million worth of goods to country C; country B exported $4 million worth of goods to country A and $7 million worth of goods to country C; and country C exported $5 million worth of goods to country A and $2 million worth of goods to country B.
-Which of the following is likely to cause an outward shift of a production possibility curve?​

• A)​An increase in the price of the commodity represented on the horizontal axis
• B)A fall in the cost of producing the commodity represented on the vertical axis
• C)​An improvement in the available technology
• D)​A fall in the supply of resources
• E)​An increase in the supply of unskilled workers

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Definitions:

Rental Car Company

A business that offers automobiles for rent to the public for short periods.

Damages

A monetary compensation awarded by a court to a person who has suffered loss or injury due to the unlawful act or negligence of another party.

Severance Pay

Compensation given to an employee upon termination of employment, often based on length of service.

Plant Closure

The process of permanently shutting down the operations of a factory or industrial site, often due to economic pressures or business restructuring.