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What Statement Best Describes the Production and Allocation of Resources

Question 25

Multiple Choice

What statement best describes the production and allocation of resources after the United States entered World War II?


A) Government spending as a percentage of GNP during this period never exceeded the maximum level at the height of the Depression under Roosevelt's New Deal policies.
B) Production shifted out closer to the production possibilities frontier, primarily as a result of technical change.
C) Production shifted out toward the production possibilities frontier, primarily as a result of underutilized resources being utilized.
D) Greater production of goods to support the war involved nominally higher incidents of disabling injuries in the workplace, yet not increases in the rates of disabling injuries.

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