Match each event with what it does to an economy's PPC.

Match each event with what it does to an…

Question 52

HardOriginal question

Match each event with what it does to an economy's PPC.

List I	List II
A. Many new skilled workers enter the labour force	I. A point inside the PPC
B. Half the factories lie idle in a slump	II. The PPC rotates out along the rice axis
C. A war destroys roads and bridges	III. The PPC shifts outward
D. A better seed raises only rice output	IV. The PPC shifts inward

A-IV, B-III, C-II, D-ICorrect answerYour answerA-II, B-I, C-IV, D-IIICorrect answerYour answerA-III, B-I, C-IV, D-IICorrect answerYour answerA-III, B-IV, C-I, D-IICorrect answerYour answer

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CorrectNot quiteAnswer C

Correct answer: C

More skilled workers add to resources: an outward shift.
Idle factories are unemployed resources: a point inside the curve.
Destroyed roads are lost resources: an inward shift. A seed for one crop rotates the curve along that crop's axis.

Concept: Events and the PPC
Typical timeTypical: 120 s
Your timeYours: —

The rule this testsThe production possibility curve

Practise this chapter →

Ten questions from Central Problems & the PPC, at your own pace.

Practise this chapter →

Ten questions from Central Problems & the PPC, at your own pace.

Question 52

Explanation