Use the following to answer questions Production P ossibilities S chedule 2

$\begin{array}{cccccc}
&V & W & X & Y & Z\
\hline\text { Capital goods per period } & 0 & 1 & 2 & 3 & 4 \
\text { Consumer goods per period } & 20 & 18 & 14 & 8 & 0
\end{array}$
-(Exhibit: Production Possibilities Schedule 2)The production of 14 units of consumer goods and 1 unit of capital goods per period would:

Question

Use the following to answer questions Production P ossibilities S chedule 2

$\begin{array}{cccccc}
&V & W & X & Y & Z\
\hline\text { Capital goods per period } & 0 & 1 & 2 & 3 & 4 \
\text { Consumer goods per period } & 20 & 18 & 14 & 8 & 0
\end{array}$
-(Exhibit: Production Possibilities Schedule 2)The production of 14 units of consumer goods and 1 unit of capital goods per period would:

Quizplus · Accepted Answer

According to the Production Possibility Schedule 2, producing 14 units of consumer goods and 1 unit of capital goods per period would be operating under the production possibilities frontier (PPF), which means there are still unused or inefficiently used resources. This is shown by the fact that there is still potential for producing more capital goods without sacrificing any consumer goods. Therefore, the best choice is C - it would result in some unused or inefficiently used resources.

Use the Following to Answer Questions Production P Ossibilities S