An increase in productivity as a result of a new technology would cause the production possibilities frontier to:
A) shift inward.
B) shift outward.
C) remain the same.
D) shift inward, then shift outward.

Question

Quizplus · Accepted Answer

An increase in productivity would allow for more output to be produced with the same amount of resources, causing an outward shift in the production possibilities frontier.

An Increase in Productivity as a Result of a New