A movement from point C to point A in Figure 1.4 results in
A) More efficient production.
B) Permanent unemployment of workers producing plasma televisions.
C) A reallocation of resources from MP3 player production to plasma television production.
D) A reallocation of resources from plasma television production to MP3 player production.

Question

A movement from point C to point A in Figure 1.4 results in
A) More efficient production. 
B) Permanent unemployment of workers producing plasma televisions. 
C) A reallocation of resources from MP3 player production to plasma television production. 
D) A reallocation of resources from plasma television production to MP3 player production.

Quizplus · Accepted Answer

Moving from point C to point A in Figure 1.4 indicates a decrease in demand for plasma televisions and an increase in demand for MP3 players. As a result, resources will likely be reallocated from plasma television production to MP3 player production, making D the best choice.

A Movement from Point C to Point a in Figure