Technological Change Is Represented on a Macro Production Possibilities Frontier

question 242

Multiple Choice

Technological change is represented on a macro production possibilities frontier (PPF) by a(n)

• A) movement along the PPF.
• B) movement from a point inside the PPF to a point on the PPF.
• C) point outside the PPF.
• D) point inside the PPF.
• E) outward shift of the PPF.

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Definitions:

Job Searching

The process by which individuals seek and find employment opportunities.

Unemployment Insurance Benefits

Payments made by the government to unemployed workers who meet eligibility requirements, designed to provide temporary financial assistance.

Unemployment Rate

The percentage of actively job-seeking, unemployed individuals within the labor force.

Natural Rate of Unemployment

Refers to the level of unemployment consistent with a stable rate of inflation, representing the proportion of the labor force that is unemployed due to factors like job mismatch or natural turnover rather than economic downturns.