Moving from one point to another on a production possibilities frontier implies
A)changing the amount of factors of production that are employed.
B)decreasing the production of both goods.
C)holding the production levels of both goods constant.
D)increasing the production of both goods.
E)increasing the production of one good and decreasing the production of another.

Question

Quizplus · Accepted Answer

Moving along the production possibilities frontier involves reallocating resources, which increases the production of one good while decreasing the production of another due to opportunity costs.

Moving from One Point to Another on a Production Possibilities