Refer to the above figure. How do you describe what is happening as the economy moves from point C to point B?
A) Previously unemployed resources are now being devoted to the production of wool.
B) Previously unemployed resources are now being devoted to the production of bread.
C) The economy has increased its wool production by 30 bales at an opportunity cost of 250 loaves of bread.
D) The economy has acquired new resources for making bread.
A
Economics
You might also like to view...
In a competitive labor market, what is the profit-maximizing number of workers that a firm will hire?
What will be an ideal response?
Economics
How does the fact that asset prices and expected rates of return are inversely related cause asset risk and expected rates of return to be positively related?
What will be an ideal response?
Economics