A movement from one point to another along the production possibilities curve would imply that:
A) The labor force available to society has grown
B) Productivity has increased over time
C) Productivity has declined over time
D) Society is producing a different combination of outputs

Question

Quizplus · Accepted Answer

When moving along the production possibilities curve, it means that society is producing a different combination of outputs. This is usually because there is a change in the allocation of resources towards the production of one good or service, resulting in the reduction of the production of the other good or service. The labor force and productivity remain the same in this case.

A Movement from One Point to Another Along the Production