A relationship that shows the technological possibilities for an economy as a whole is called a

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A production possibilities frontier (PPF) is a graph that shows the maximum output combinations of two goods that an economy can produce when all resources are fully employed and technology is fixed. It represents the technological possibilities of an economy as a whole. Thus, option E is the correct answer. A production function relates the quantity of inputs used to produce a certain quantity of output. A utility possibilities frontier is a graph that shows the combinations of two goods that give a consumer the same level of utility. A competitive equilibrium is a situation in which the market price and quantity are determined by the forces of supply and demand. A budget constraint is a line that shows the different combinations of two goods that a consumer can afford given their income and prices. None of these options represent the technological possibilities of an economy as a whole.

A Relationship That Shows the Technological Possibilities for an Economy