Chapter 7R, Problem 19MCQ

To determine

To find:

Representation of economic growth on the graph

Answer to Problem 19MCQ

Option E is correct.

Explanation of Solution

Option E is correct

An outward shift of the curve. Economic growth on the curve shows outward shift of the curve.

Option A is incorrect

Economic growth is not determined by movement from D to C.

Option B is incorrect

Economic growth is not determined by movement from C to D.

Option C is incorrect

Economic growth is not determined by movement from A to B.

Option D is incorrect

Economic growth is not determined by movement from B to A.

Economics Concept Introduction

Economic growth is a value of goods and services that are calculated over a period of time according to the current price level.