If the economy is currently producing at a point on its production possibilities frontier (PPF),the economy is
A) productive inefficient.
B) operating with no unemployed resources.
C) productive efficient.
D) b and c
E) none of the above

Question

Quizplus · Accepted Answer

If the economy is currently producing at a point on its production possibilities frontier (PPF), it is both productive efficient and operating with no unemployed resources. Therefore, choices B and C are both correct, making D the best answer. Choice A is incorrect because if the economy is on the PPF, it is not experiencing any inefficiencies. Additionally, choice E is incorrect because at least one of the choices must be correct.

If the Economy Is Currently Producing at a Point on Its