Greater investment in capital goods today leads to
A) greater growth in the production possibilities frontier (PPF)in the future.
B) greater consumption today.
C) the end of scarcity.
D) less opportunity cost.
E) scarcity.

Question

Quizplus · Accepted Answer

Greater investment in capital goods today leads to the creation of new and better technologies, which can increase the efficiency of production and lead to sustained economic growth, resulting in the expansion of the production possibilities frontier (PPF) in the future.

Greater Investment in Capital Goods Today Leads to