When a society achieves production efficiency,it is
A) definitely producing at a point on its PPF.
B) perhaps producing at a point on its PPF and perhaps producing at a point inside its PPF.
C) definitely producing that combination of goods and services that society values most highly.
D) not fully employing all of its available resources to produce goods and services.
E) enjoying a free lunch.

Question

Quizplus · Accepted Answer

Production efficiency means that the society is producing at the point on its Production Possibility Frontier (PPF) where all of its available resources are fully utilized to produce goods and services. Hence, it definitely produces at a point on its PPF.

When a Society Achieves Production Efficiency,it Is