A production possibilities frontier can shift outward for all of the following reasons except: A....

Question:

A production possibilities frontier can shift outward for all of the following reasons except:

A. a larger work force.

B. a decrease in the size of the labor force.

C. an increase in the skills of the labor force.

D. an improvement in technology.

Production Possibility Frontier:

A production possibility frontier can be defined as a curve that represents different combinations of two services and products that an economy can manufacture in a given period of time by using all the available resources optimally.

Answer and Explanation: 1

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  • The correct option is B. A decrease in the size of the labor force.

A PPF (Production Possibility Frontier) will shift outwards when there is an...

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Shifts in the Production Possibilities Curve

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Chapter 1 / Lesson 5
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Learn about the production possibilities frontier (PPF). See what the PPF graph represents and what causes the ppc curve to shift outward.


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