Consider the production possibilities frontier (PPF) shown in the figure below to answer the questions that follow.

-Given current resources and technology,the attainable range is best described as which places on the figure?
A) only area O: points outside the PPF.
B) points on the PPF only.
C) only area I: points inside the PPF.
D) area I: points inside the PPF and points on the PPF.
E) area O: points outside the PPF and points on the PPF.

Question

Consider the production possibilities frontier (PPF) shown in the figure below to answer the questions that follow.
 
-Given current resources and technology,the attainable range is best described as which places on the figure?
A) only area O: points outside the PPF. 
B) points on the PPF only. 
C) only area I: points inside the PPF. 
D) area I: points inside the PPF and points on the PPF. 
E) area O: points outside the PPF and points on the PPF.

Quizplus · Accepted Answer

The attainable range is the area within the PPF, which includes all the points inside the PPF (area I) and all the points on the PPF. Therefore, the correct answer is D, as it includes both area I and the PPF. Option A is incorrect as it includes only points outside the PPF, and option B is incorrect as it includes only points on the PPF. Option C is incorrect as it includes only points inside the PPF. Option E is incorrect as it includes points outside the PPF, which are not attainable with current resources and technology.

Consider the Production Possibilities Frontier (PPF) Shown in the Figure