A society that is producing on its production possibilities frontier is
A) not utilizing all of its resources.
B) not being technologically efficient.
C) producing too much output.
D) fully utilizing all of its productive resources.

Question

Quizplus · Accepted Answer

A society producing on its production possibilities frontier (PPF) is making full use of its resources, implying that it is operating efficiently. The PPF represents the maximum combination of goods and services that can be produced with available resources and technology.

A Society That Is Producing on Its Production Possibilities Frontier