Asked by
alekya reddy
on Dec 12, 2024
Verified
If an economy uses its resources inefficiently, this situation would be illustrated on a production possibilities diagram as
A) an inward shift of the production possibilities curve.
B) an outward shift of the production possibilities curve.
C) operating at a point outside the production possibilities curve.
D) operating at a point inside the production possibilities curve.
Production Possibilities Diagram
A graphical representation showing the maximum number of output combinations that an economy can achieve using its resources efficiently.
Inefficiently
Operating in a manner that does not maximize productivity or wastes resources, leading to lower outputs for given inputs.
- Gain insights into how a production possibilities curve illustrates inefficiencies in an economy.
Verified Answer
AG
Learning Objectives
- Gain insights into how a production possibilities curve illustrates inefficiencies in an economy.
Related questions
A Production Possibilities Curve Graphically Represents the Maximum Quantities of ...
If the Resources of an Economy Are Being Used Inefficiently ...
If an Economy Operates at a Point Within Its Production ...
A Production Possibilities Curve Shows ...
Which of the Following Is Assumed in Constructing a Typical ...