Economic growth may be represented by
A) a movement from one end of the production possibilities curve to the other.
B) an upward-sloping production possibilities curve.
C) a movement from a point inside to a point on the production possibilities curve.
D) a rightward shift of the production possibilities curve.

Question

Quizplus · Accepted Answer

Economic growth is represented by a rightward shift of the production possibilities curve, indicating an increase in the economy's ability to produce goods and services. This could be due to factors such as an increase in resources, technology or productivity. Movement along the curve or a change in slope does not necessarily represent economic growth, as it may only indicate a change in the allocation of resources towards different goods and services.

Economic Growth May Be Represented by