-An improvement in technology could be expected to: A)shift the production possibilities curve from PP₁ to PP₂ B)shift the production possibilities curve from PP₂ to PP₁ C)move the economy from point A to point C along PP₁ D)move the economy from points A, B, or C on PP₁ to point D inside PP₁ E)move the economy from point C to point A along PP₁

Question

Quizplus · Accepted Answer

An improvement in technology typically allows for more efficient production, which can increase the maximum output that an economy can produce. This is represented by an outward shift of the production possibilities curve (PPC), indicating that the economy can now produce more of both goods than before.

-An Improvement in Technology Could Be Expected To