Exhibit 1-7 -Refer to Exhibit 1-7. Assume the Economy Is Operating at Is

Exhibit 1-7
-Refer to Exhibit 1-7. Assume the economy is operating at Point C. This indicates that

A) the only way the economy could move toward a point such as D is by discovering new resources.
B) the economy is efficiently using all its resources.
C) there is no excess resource capacity in the economy.
D) it is possible for the economy to produce more of Good X and Good Y with the given resources.
E) it is possible for the economy to produce more of Good X only if it produces less of Good Y.