In March a factory used new technology to produce its output. Then in August a fire destroys half the factory. The new technology shifted the factoryʹs PPF and the fire shifted it .
A) inward; inward
B) outward; outward
C) inward; outward
D) outward; inward

Question

Quizplus · Accepted Answer

The new technology in March would have increased the factory's production capabilities, shifting the PPF outward. The fire in August would have reduced the factory's production capabilities, shifting the PPF inward.

In March a Factory Used New Technology to Produce Its