Is increased capital spending the only way for an economy to expand its production possibilities curve?
A) No, an economy can also expand by invention and innovation.
B) No, an economy can also grow by reallocating more resources toward the production of consumption goods.
C) Yes, more capital investment is the only way to expand production possibilities.
D) Yes, although increased production of capital clearly increases the opportunity cost.
Correct Answer:
Verified
Q108: Approximately two decades after a "baby boom,"
Q109: Which of the following would be likely
Q110: An increase in the unemployment rate from
Q111: A production possibilities curve that is "bowed
Q112: Which of the following would mostly likely
Q114: Assume the economy moves from a situation
Q115: Economic growth can be illustrated by:
A)a movement
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents