Author Question: The production possibilities curve shows different combinations of goods that: a. can be consumed ... (Read 65 times)

folubunmi · **on:** Jun 30, 2018

The production possibilities curve shows different combinations of goods that:
a. can be consumed by households.
b. can be consumed by firms.
c. can be produced with the available technology.
d. are produced and consumed by firms.
e. are bought and sold in the market.

Question 2

When an economy's resources are not fully employed, then it must be true that the:
a. production point is located outside and to the right of the production possibilities curve.
b. production point is located along the production possibilities curve.
c. production point is located inside and to the left of the production possibilities curve.
d. production possibilities curve shifts to the right.
e. production possibilities curve shifts to the left.