Choosing to produce at any point within (inside, not on) a production possibilities frontier is:
A) inefficient, meaning the society would not be using all its available resources in their best possible uses.
B) efficient, meaning the society would be using all its available resources in their best possible uses.
C) unobtainable, meaning the society cannot produce that combination of goods.
D) efficient, but not attainable.

Question

Quizplus · Accepted Answer

Choosing to produce inside the production possibilities frontier means that the society is not using all its available resources in their best possible uses. This results in inefficiency as there are unused resources that could have been used to produce more goods and services.

Choosing to Produce at Any Point Within (Inside, Not On)