An Improvement in Technology Will Cause the

question 89

Multiple Choice

An improvement in technology will cause the

• A) production possibility frontier to shift outward.
• B) production possibility frontier to shift inward.
• C) economy to move down the production possibility frontier.
• D) economy to move closer to its production possibility frontier.

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Definitions:

Apples

A common fruit that is grown worldwide, known for its variety in colors, sizes, and flavors.

Bananas

Edible fruits, typically elongated and slightly curved, featuring a soft flesh covered by a yellow peel when ripe.

Utility Function

A mathematical representation in economics that quantifies the satisfaction or happiness that a consumer derives from consuming goods and services.

Budget Constraint

The limitations on the purchase capabilities of an individual or entity, based on their available income and the prices of goods and services.