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If Macroland Has a Higher Economic Growth Rate Than Econia

Question 26

Multiple Choice

If Macroland has a higher economic growth rate than Econia over a twenty-year period, then Macroland's production possibilities frontier (PPF) will:


A) shift outward more rapidly than Econia's PPF during the time period.
B) shift inward more rapidly than Econia's PPF during the time period.
C) rotate around its midpoint, and Econia's PPF will rotate in the opposite direction.
D) remain stationary while production moves to a higher point on the curve. Econia's PPF is also stationary, and production moves to a slightly higher point on its curve.

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