The process observed when an economy's production possibility frontier shifts outward is:
A)comparative advantage.
B)economic growth.
C)full employment.
D)specialization.

Question

Quizplus · Accepted Answer

When an economy's production possibility frontier shifts outward, it indicates that the economy has experienced economic growth. This means that the economy is able to produce more goods and services than it previously could with the same amount of resources.

The Process Observed When an Economy's Production Possibility Frontier Shifts