Homework SourseEconomic growth can be depicted as A an inward shift of the
Economic growth can be depicted as
A) an inward shift of the PPF
B) an outward shift of the PPF
C) the PPF becoming steeper
D) the PPF becoming flatter
Economic growth can be depicted as
A) an inward shift of the PPF
B) an outward shift of the PPF
C) the PPF becoming steeper
D) the PPF becoming flatter
A) an inward shift of the PPF
B) an outward shift of the PPF
C) the PPF becoming steeper
D) the PPF becoming flatter
Solution
Answer is B. an Outward shift of PPF.
Explanation: PPF refers to the possible production at level of given resources.
However, with the economic growth the possible production will increase and shift rightward of PPF.
