Increasing opportunity costs occur along the production possibilities frontier because: of unemployment in the economy. not all resources are equally well suited to produce all goods. resources lack specialization. of inequities in the distribution of income.
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An economy will achieve productive efficiency when it ___ and will achieve allocative efficiency when it ___. s producing the combination of goods and services that most benefit the people in the economy; Is maximizing production and could not increase production of both goods at the same time. Is maximizing production and could not increase production of both goods at the same time; is producing the combination of goods and services that most benefit the people in the economy. Is maximizing production and could not increase production of both goods at the same time; is producing an equal amount of both goods. Is producing beyond the production possibility frontier; is producing inside the production possibility frontier.
Oluwadamilola A.
When an economy is operating inside its production possibilities frontier, we know that: A) there are unused resources or inefficiencies in the economy. B) all of the economy's resources are fully employed. C) economic growth would have to occur in order for the economy to move to a point on the frontier. D) in order to produce more of one good, the economy would have to give up some of the other good.
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