-Which of the following will NOT shift an economy's production possibilities curve outward?
A)An increase in technology
B)An improvement in the literacy rate
C)A reduction in the unemployment rate
D)An increase in the number of workers available

Question

-Which of the following will NOT shift an economy's production possibilities curve outward?
A)An increase in technology 
B)An improvement in the literacy rate 
C)A reduction in the unemployment rate 
D)An increase in the number of workers available

Quizplus · Accepted Answer

A reduction in the unemployment rate does not shift the production possibilities curve outward; it moves the economy closer to its existing curve by utilizing idle resources. In contrast, increases in technology, literacy rates, and the number of workers can expand an economy's productive capacity, shifting the curve outward.

-Which of the Following Will NOT Shift an Economy's Production