Figure 2-7
-Refer to Figure 2-7. Which of the following would best describe the movement from frontier A to B?
A) society's preference for consumer and capital goods has changed
B) economic growth
C) a more equitable distribution of income
D) an improvement in the allocation of resources

Question

Figure 2-7 
-Refer to Figure 2-7. Which of the following would best describe the movement from frontier A to B?
A) society's preference for consumer and capital goods has changed 
B) economic growth 
C) a more equitable distribution of income 
D) an improvement in the allocation of resources

Quizplus · Accepted Answer

The movement from frontier A to B represents an increase in the production possibilities frontier, which is typically indicative of economic growth.

Figure 2-7 -Refer to Figure 2-7. Which of the Following Would Best