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If an Economy That Produces Capital and Consumer Goods Is

Question 15

Multiple Choice

If an economy that produces capital and consumer goods is operating at a point on its production possibilities curve:


A) it is achieving full employment but not full production.
B) it is achieving full production but not full employment.
C) more capital goods can be produced only at the cost of some consumer goods.
D) the economy is incapable of achieving significant economic growth.

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