Production Possibilities Frontier (Ch. 2) Computers D B PPF₁ PPF₂ Bread (1) Economic growth in this economy is illustrated by: a. a movement from point A to point B b. a movement from point A to point C c. a shift along PPF, from point B to point C d. an outward shift from PPF, to PPF₂ C

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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Production Possibilities Frontier (Ch. 2)
Computers
D
B
.4
PPF₁
PPF₂
Bread
(1) Economic growth in this economy is illustrated by:
a. a movement from point A to point B
b.
a movement from point A to point C
c. a shift along PPF, from point B to point C
d. an outward shift from PPF, to PPF₂2
(2) If this economy is currently operating on PPF₁, then inefficiency is illustrated by.
efficiency is illustrated by
a. point A; point B
b. point A; point C
c. point A; point D
point B; point D
d.
and
Transcribed Image Text:Production Possibilities Frontier (Ch. 2) Computers D B .4 PPF₁ PPF₂ Bread (1) Economic growth in this economy is illustrated by: a. a movement from point A to point B b. a movement from point A to point C c. a shift along PPF, from point B to point C d. an outward shift from PPF, to PPF₂2 (2) If this economy is currently operating on PPF₁, then inefficiency is illustrated by. efficiency is illustrated by a. point A; point B b. point A; point C c. point A; point D point B; point D d. and
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