Exhibit 2-14  Production Possibilities Curve in Exhibit 2-14, This Economy

Exhibit 2-14  Production possibilities curve In Exhibit 2-14, this economy was located at point E but has now moved to point F.

A) This would be an impossible move because the economy does not have sufficient resources.
B) The rate of unemployment in this economy would have increased.
C) Consumption goods production has increased, but capital goods production has decreased.
D) The economy has decreased unemployment, but some degree of unemployment still exists.
E) This economy has achieved full employment.