The political party that is in power determines the position and shape of the production possibilities frontier that constrains the choices of the economy.

Question

Quizplus · Accepted Answer

The position and shape of the production possibilities frontier are determined by factors such as technology, resources, and efficiency. They are not directly affected by the political party in power. However, the policies and decisions made by the government can influence the economy's position on the production possibilities frontier.

The Political Party That Is in Power Determines the Position