Figure 2-11 -Refer to Figure 2-11.The Shift of the Production Possibilities Frontier

question 5

Multiple Choice

Figure 2-11
-Refer to Figure 2-11.The shift of the production possibilities frontier from A to B illustrates

• A)simultaneous technological advances in the book and DVD industries.
• B)a reallocation of resources away from the production of DVDs and toward the production of books.
• C)economic growth.
• D)All of the above are correct.

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Definitions:

Hawthorne Works

A series of studies conducted at the Hawthorne Works in Chicago that looked into how different conditions affect the productivity of workers.

Western Electric Company

An American electrical engineering and manufacturing company that was the primary supplier for AT&T and its Bell System.

Lucent Technologies

A former telecom giant known for its innovations in telecommunications and networking equipment, eventually merged with Alcatel.

Hawthorne Effect

A phenomenon where individuals modify an aspect of their behavior in response to their awareness of being observed.