-Refer to Exhibit 2-7.For which of the following is the statement "In order to get more civilian goods,we have to forfeit some military goods" true?
A) a movement from A to C
B) a movement from B to D
C) a movement from C to D
D) a movement from F to D
E) none of the above

Question

-Refer to Exhibit 2-7.For which of the following is the statement "In order to get more civilian goods,we have to forfeit some military goods" true?
A) a movement from A to C 
B) a movement from B to D 
C) a movement from C to D 
D) a movement from F to D 
E) none of the above

Quizplus · Accepted Answer

A movement from C to D on a production possibility frontier (PPF) curve typically represents a trade-off where to produce more civilian goods, a country must reduce its production of military goods, reflecting the opportunity cost of reallocating resources.