In a production possibilities frontier diagram,the attainable production points are shown as
A) only the points on the production possibilities frontier.
B) only the points beyond the production possibilities frontier.
C) only the points inside the production possibilities frontier.
D) the points inside and the points on the production possibilities frontier.
E) any of the production points.

Question

Quizplus · Accepted Answer

The production possibilities frontier (PPF) represents the maximum amount of two goods that an economy can produce with its given resources and technology. Any point on the PPF is attainable and efficient, meaning that all resources are being used to their fullest potential. Points inside the PPF represent production levels that are inefficient because not all resources are being utilized. Therefore, the attainable production points are the points inside and on the PPF, which is option D. Points beyond the PPF are currently unattainable given the resources and technology available.

In a Production Possibilities Frontier Diagram,the Attainable Production Points Are