Suppose a country operates on its production possibility frontier when it produces 1,000 books and 1,000 tables. The combination of ________ reflects ________.
A) 500 books and 500 tables; an attainable and efficient point.
B) 1,000 books and 1,000 tables; a free lunch.
C) 1,000 books and 1,500 tables; a free lunch.
D) 1,000 books and 500 tables; an efficient point.
E) 500 books and 1,000 tables; an inefficient but attainable point.

Question

Quizplus · Accepted Answer

The combination of 500 books and 500 tables is an attainable and efficient point because it is within the production possibility frontier, indicating resources are used efficiently.

Suppose a Country Operates on Its Production Possibility Frontier When