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An Increase in the Stock of Capital in an Economy

Question 30

Multiple Choice

An increase in the stock of capital in an economy:


A) causes a movement from a point on the economy's production possibilities curve to a point inside the curve.
B) causes the economy's production possibilities curve to shift inward over time.
C) causes the economy's production possibilities curve to shift outward over time.
D) causes a downward movement from a point on the economy's production possibilities curve to another point on the curve.
E) causes an upward movement from a point on the economy's production possibilities curve to another point on the curve

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