If a nation selects a product mix focused on _____ goods, the production possibilities frontier will expand at a greater rate than if the nation produced mostly _____ goods.

Question

Quizplus · Accepted Answer

Capital goods investment leads to an increase in production capacity over time, expanding the production possibilities frontier more than focusing on consumption goods, which offer immediate satisfaction but don't enhance future production capabilities.

If a Nation Selects a Product Mix Focused on _____