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Figure: Tom's Production Possibilities
-(Figure: Tom's Production Possibilities) Look at the figure Tom's Production Possibilities. Which point or points represent(s) an inefficient combination of coconuts and fish?
A)A only
B)A and B
C)C only
D)B and D

Question

Use the following to answer questions:
Figure: Tom's Production Possibilities 
-(Figure: Tom's Production Possibilities) Look at the figure Tom's Production Possibilities. Which point or points represent(s) an inefficient combination of coconuts and fish?
A)A only 
B)A and B 
C)C only 
D)B and D

Quizplus · Accepted Answer

Point C represents the most efficient combination of coconuts and fish because it is on the production possibilities frontier (PPF), indicating that all resources are being used effectively. Points A and B represent inefficient combinations of coconuts and fish because they are inside the PPF, meaning that resources are not being fully utilized. Point D is not relevant as it is beyond the PPF, indicating that it is currently unattainable with the given resources. So, the best choice is point C.

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