Refer to the information provided in Figure 31.2 below to answer the question(s) that follow. Figure 31.2
-Refer to Figure 31.2. An economy that chooses to be at Point B rather than Point A will achieve ________ in the future.
A) lower consumption levels
B) lower employment levels
C) a higher economic growth rate
D) higher opportunity costs

Question

Refer to the information provided in Figure 31.2 below to answer the question(s) that follow.  Figure 31.2
-Refer to Figure 31.2. An economy that chooses to be at Point B rather than Point A will achieve ________ in the future.
A) lower consumption levels 
B) lower employment levels 
C) a higher economic growth rate 
D) higher opportunity costs

Quizplus · Accepted Answer

Point B represents a higher investment in capital goods, which will lead to higher economic growth and thus higher consumption levels in the future. Choosing Point A would lead to lower economic growth and lower future consumption levels. Lower employment levels and higher opportunity costs are not necessarily outcomes of choosing Point B over Point A.

Refer to the Information Provided in Figure 31