-According to this production possibilities table, an increase in the production of capital goods from 48 to 56 million units would:
A) cost 80 million units of consumer goods.
B) signal that the economy is experiencing unemployment.
C) be impossible given available resources and technology.
D) increase the likelihood the economy would grow in the future.

Question

-According to this production possibilities table, an increase in the production of capital goods from 48 to 56 million units would:
A) cost 80 million units of consumer goods. 
B) signal that the economy is experiencing unemployment. 
C) be impossible given available resources and technology. 
D) increase the likelihood the economy would grow in the future.

Quizplus · Accepted Answer

Increasing the production of capital goods, which are used to produce other goods and services, typically enhances an economy's productive capacity over time, leading to economic growth.

-According to This Production Possibilities Table, an Increase in the Production