It is possible for an economy to increase its production of both goods if the economy
A)moves downward and to the right along its production possibilities frontier and the frontier is bowed outward.
B)moves upward and to the left along its production possibilities frontier and the frontier is bowed outward.
C)moves in either direction along its production possibilities frontier and the frontier is a straight line.
D)moves from a situation of inefficient production to a situation of efficient production.

Question

Quizplus · Accepted Answer

An economy can increase its production of both goods by moving from a point of inefficiency inside the production possibilities frontier to a point on the frontier, indicating efficient production.

It Is Possible for an Economy to Increase Its Production