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A Production Possibilities Curve with Quantities of Clothing and Food

question 302

Multiple Choice

A production possibilities curve with quantities of clothing and food on the axes shows which of the following? I. A society cannot have an unlimited amount of each good.
II) For an efficient society, an increase in clothing production will necessitate a decrease in food production.
III) A society will always produce the maximum amount of both clothing and food.


Definitions:

Input

Resources such as materials, labor, and information used in the production of goods or services.

Design Thinking

A problem-solving approach that involves empathy, creativity, and rationality to meet user needs.

Revamping

The process of redesigning or restructuring something to improve its appearance, efficiency, or effectiveness.

Trialability

The extent to which a potential customer can examine the merits of a new product without having to spend a lot of money or time doing so.

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