A point on a nation's production possibilities curve represents
A) An undesirable combination of goods and services.
B) Combinations of production that are unattainable, given current technology and resources.
C) Levels of production that will cause both unemployment and inflation.
D) The full employment of resources to achieve a particular combination of goods and services. Being on the curve is efficient because we are getting the most we can out of our resources.

Question

Quizplus · Accepted Answer

A point on a nation's production possibilities curve represents the full employment of resources to achieve a particular combination of goods and services. Being on the curve is efficient because we are getting the most we can out of our resources. Therefore, the best choice is D.

A Point on a Nation's Production Possibilities Curve Represents