A country that must decrease production of one good in order to increase the production of another
A) must be producing on its production possibilities frontier.
B) must not have private ownership of property.
C) must be using resources inefficiently.
D) must be producing beyond its production possibilities frontier.

Question

Quizplus · Accepted Answer

A country that must decrease production of one good in order to increase the production of another is operating on its production possibilities frontier. This means that it is already using its resources efficiently and any increase in the production of one good must come at the cost of decreasing the production of another good.

A Country That Must Decrease Production of One Good in Order