Refer to Exhibit 3-8. At Point B in the production possibilities graph shown, the economy: a. is not using its resources efficiently. b. is using its resources efficiently while producing clothing but not food. c. is using its resources efficiently while producing food but not clothing. d. is using its resources efficiently to produce both food and clothing.

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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A4
Exhibit 3-8
Production possibilities curve
A
Food
Clothing
Transcribed Image Text:Exhibit 3-8 Production possibilities curve A Food Clothing
85. Refer to Exhibit 3-8. At Point B in the production possibilities graph shown, the economy:
a. is not using its resources efficiently.
b. is using its resources efficiently while producing clothing but not food.
c. is using its resources efficiently while producing food but not clothing.
d. is using its resources efficiently to produce both food and clothing.
Transcribed Image Text:85. Refer to Exhibit 3-8. At Point B in the production possibilities graph shown, the economy: a. is not using its resources efficiently. b. is using its resources efficiently while producing clothing but not food. c. is using its resources efficiently while producing food but not clothing. d. is using its resources efficiently to produce both food and clothing.
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