4 Economic Growth
-An expansion of the production possibilities frontier is
A) called economic growth.
B) proof that scarcity is not a binding constraint.
C) a free gift of nature.
D) something that has occurred only rarely in history.

Question

Quizplus · Accepted Answer

Economic growth is defined as an expansion of the production possibilities frontier (PPF), which indicates an increase in the capacity of an economy to produce goods and services. This expansion reflects improvements in technology, increases in resources, or enhancements in the efficiency of the economy.

4 Economic Growth -An Expansion of the Production Possibilities Frontier Is