Suppose residents of British Columbia operate on their production possibility frontier,and they want to increase production of both wheat and fly-fishing rods.According to the production possibility frontier,this cannot happen without new resources or technological improvement.

Question

Quizplus · Accepted Answer

The production possibility frontier represents the maximum output that can be produced given the available resources and technology. If the residents of British Columbia want to increase production of both wheat and fly-fishing rods, they would have to move the production possibility frontier outward by acquiring new resources or improving technology. Without these changes, it is not possible to produce more of both goods without sacrificing production of one good for the other. Therefore, the statement is true.

Suppose Residents of British Columbia Operate on Their Production Possibility