What is TRUE about every point along a utilities possibilities frontier?
A) Markets are perfectly competitive.
B) It is possible to move to from one point on the frontier to another point and make everyone better off.
C) All allocations are efficient.
D) It includes some unattainable points.

Question

Quizplus · Accepted Answer

The utilities possibilities frontier represents all of the efficient allocations, meaning that it is not possible to move to another point and make everyone better off. However, it may include some unattainable points as resources are limited, but all points along the frontier are efficient. Market competitiveness is not necessarily a factor in determining the points on the frontier.

What Is TRUE About Every Point Along a Utilities Possibilities