Multiple Choice
The diagram below shows two production possibilities boundaries for Country X. FIGURE 1- 3
-Refer to Figure 1- 3. Suppose that Country X is currently producing at point E. Country X could achieve production at point D if
A) firms reduced output of capital goods.
B) sufficient improvements in technology occurred in either the capital goods industry or the consumer goods industries.
C) the given resources were more efficiently employed.
D) the given resources were fully employed.
E) the prices of capital goods and consumption goods fell.
Correct Answer:

Verified
Correct Answer:
Verified
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