Which of the following would mostly likely shift the production possibilities curve in an outward direction?
A)a decrease in the current rate of unemployment
B)a movement along the curve sacrificing capital goods for consumption goods
C)an increase in the price of goods and services
D)advances in medicine that reduce the incidence of disease and lengthen productive life spans

Question

Which of the following would mostly likely shift the production possibilities curve in an outward direction?
A)​a decrease in the current rate of unemployment
B)​a movement along the curve sacrificing capital goods for consumption goods
C)​an increase in the price of goods and services
D)​advances in medicine that reduce the incidence of disease and lengthen productive life spans

Quizplus · Accepted Answer

Advances in medicine that reduce the incidence of disease and lengthen productive life spans would shift the production possibilities curve in an outward direction as it increases the potential of an economy to produce both goods and services. This is because a healthier population is able to work and produce more, ultimately increasing the productive capacity of the economy.

Which of the Following Would Mostly Likely Shift the Production