Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

There is a technological advance that affects production in a society that is producing two major types of goods, let's say guns (military goods) and

There is a technological advance that affects production in a society that is producing two major types of goods, let's say guns (military goods) and butter (civilian goods).Assume the production possibility frontier that describes that society's economy is running at full capacity and production.The technological advance affects military goods but has little effect on civilian goods.

a. The production possibility curve would move outward equally on both the military axis and the civilian axis

b. the production possibility frontier would move outward, with the largest push outward on the axis for military goods but with hardly any movement outward on the axis for civilian goods.

c. The production possibility frontier would move outward on the axis for military goods but would move inward on the axis for civilian goods.

d. The production possibility curve would move outward equally on both the military axis and the civilian axis

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Microeconomics Principles, Problems, And Policies

Authors: Campbell McConnell

21st Edition

1259915727, 9781259915727

More Books

Students also viewed these Economics questions

Question

What are the four main categories that constitute stories?

Answered: 1 week ago

Question

Coaching and motivational behavior

Answered: 1 week ago