The figure below shows the production possibilities frontier for capital goods and consumption goods.Current production at _____ would lead to the largest outward shift in the production possibilities frontier in a later year _____. Figure 2.7

A) Point a; because this point represents a greater consumption level than point b
B) Point b; because this point represents greater total production than the other two points
C) Point c; because this point represents a greater consumption level than the other two points
D) Point b; because this point represents greater production of capital than point c
E) Point c; because this point represents greater production of capital than the other two points
Correct Answer:
Verified
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