FIGURE 2-2

-Refer to Figure 2-2. Which of the following statements about a movement from Point B to Point C is the most accurate?

Question

FIGURE 2-2
 
-Refer to Figure 2-2. Which of the following statements about a movement from Point B to Point C is the most accurate?

Quizplus · Accepted Answer

Moving from Point B to Point C means shifting production from wine to bread, indicating a sacrifice of wine to produce a greater quantity of bread. Therefore, option C is the most accurate statement. Option A is incorrect because it suggests sacrificing bread to produce more wine, which is the opposite of what is happening. Option B is incorrect because moving along a production possibilities curve involves a tradeoff between the production of two goods, and thus involves opportunity cost. Option D is incorrect because there is no direct relationship between a movement along a production possibilities curve and unemployment.

FIGURE 2-2 -Refer to Figure 2-2. Which of the Following Statements About