Which of the following most accurately summarizes the implications of an economy's production possibilities curve?
A) If all the resources of an economy are being used efficiently, more of one good can be produced only if less of another good is produced.
B) If all the resources of an economy are being used efficiently, it is generally possible to produce more of one good without having to sacrifice the production of other goods.
C) Over time, it is generally impossible for a country to expand its production of goods.
D) An economy will automatically move toward a point that lies outside of the production possibilities constraint unless proper government policy constrains production.
Correct Answer:
Verified
Q43: A production possibilities curve has "good X"
Q45: Exhibit 2-7 Production possibilities curve Q46: If an economy is producing at full Q47: Exhibit 2-9 Production possibilities curve Q49: If an economy is operating at a Q50: When an economy's resources are not fully Q51: When the production possibilities curve is bowed Q52: Exhibit 2-4 Production possibilities curve data Q53: The production possibilities curve shows that: Q152: In Europe during the 14th century, the Unlock this Answer For Free Now! View this answer and more for free by performing one of the following actions Scan the QR code to install the App and get 2 free unlocks Unlock quizzes for free by uploading documents![]()
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A) some