The Reason That the Production Possibilities Frontier Is Usually a Bow-Shaped

question 16

Multiple Choice

The reason that the production possibilities frontier is usually a bow-shaped curve instead of a straight line is that:

• A)a curve makes it easier to illustrate the concepts of scarcity and prices than a straight line.
• B)early economists began drawing them in this way and the convention has continued throughout the years.
• C)output eventually reaches a maximum and then declines.
• D)resources are not perfectly adaptable to the production of all goods.
• E)the frontier will shift outward over time.

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