Asked by Veronica Lovtsova on May 25, 2024
Verified
Which of the following would shift the production possibilities frontier outward?
A) A reduction in inefficiency
B) A reduction in the size of the labor force
C) An improvement in technology
D) A change in the combination of goods produced
E) Increasing opportunity costs
Shift Outward
An economic term describing the expansion of a country's production possibility frontier, indicating increased capacity to produce goods and services.
Improvement In Technology
Enhancements or advancements in technology that lead to more efficient processes, products, or services.
- Recognize elements that may cause a shift or rotation in the Production Possibility Frontier.
- Elucidate the function of technology and economic expansion in altering the Production Possibility Frontier.
Verified Answer
RS
Rafael Shem GapusanMay 30, 2024
Final Answer :
C
Explanation :
An improvement in technology would increase the efficiency of production, allowing for more output to be produced with the same amount of resources. This would shift the production possibilities frontier outward.
Learning Objectives
- Recognize elements that may cause a shift or rotation in the Production Possibility Frontier.
- Elucidate the function of technology and economic expansion in altering the Production Possibility Frontier.