The production possibilities frontier cannot be used to show
A)scarcity in a society.
B)the trade-offs involved in production decisions.
C)the unequal distribution of resources among the members of society.
D)All of the responses are correct.

Question

Quizplus · Accepted Answer

The production possibilities frontier represents the maximum amount of goods and services that a society can produce with its available resources, assuming full employment and efficient use of those resources. It does not show the unequal distribution of resources among members of society, as this is a separate issue related to income and wealth distribution.

The Production Possibilities Frontier Cannot Be Used to Show