-In Year 2003 the Country of Exhibit B-6 Was Located

Multiple Choice

-In year 2003 the country of Exhibit B-6 was located at point A on its year 2003 production possibilities curve. In 2004 this country was located at point B on its 2004 production possibilities curve. Which of the following could have caused this shift in its production possibilities curve?

A) more efficient production in 2003
B) greater use of resources in 2003
C) a natural disaster in 2003 which led to a destruction of resources
D) higher unemployment in 2003
E) the production of capital goods in 2003 increased its resource base for 2004