If all discrimination in the United States were eliminated, the economy would
A) have a less concave production possibilities curve.
B) produce at some point closer to its production possibilities curve.
C) be able to produce at some point outside of its production possibilities curve.
D) produce more consumer goods and fewer investment goods.

Question

Quizplus · Accepted Answer

Eliminating discrimination would lead to a more efficient allocation of resources and a decrease in inefficiency due to discrimination. This would result in the economy producing closer to its production possibilities curve, indicating a higher level of output and efficiency. However, it is unlikely that discrimination alone would allow the economy to produce outside of its production possibilities curve or change the composition of consumer and investment goods produced.

If All Discrimination in the United States Were Eliminated, the Economy