A point inside a production possibilities frontier
A)is unattainable.
B)indicates a point of production efficiency.
C)is preferred to a point on the production possibilities frontier.
D)indicates some wasted or misallocated resources.
E)illustrates the idea of opportunity cost.

Question

Quizplus · Accepted Answer

A point inside the production possibilities frontier indicates that resources are not being used efficiently, and there is some wasted or misallocated resources. Therefore, the best answer is D.

A Point Inside a Production Possibilities Frontier