Friday, July 8, 2011

Which of the following would cause the production possibilities frontier in Exhibit 2-6 to shift from AA to BA?

ECONOMICS

Multiple Choice

Which of the following would cause the production possibilities frontier in Exhibit 2-6 to shift from AA to BA?

a.a drought that affected food production but had no effect on education

b.a technological improvement in education that had no effect on food production

c.a technological improvement in food production that had no effect on education

d.a disease that affected students' ability to learn (and therefore education) but not food production

e.an increase in the size of the labor force that affected both food production and education
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