If a given production combination is efficient, then it must be:
A)above the production possibilities curve.
B)on the production possibilities curve.
C)either an attainable or unattainable point.
D)below the production possibilities curve.

Question

Quizplus · Accepted Answer

Only points on the production possibilities curve are efficient because, at these points, in order to produce more of one good, you must forgo some production of the other good.

If a Given Production Combination Is Efficient, Then It Must