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PPF - Outward Shifts
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PPF - Outward Shifts
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2. Introductory Economic Models / PPF - Outward Shifts / Problem 2
Problem 2
How does a technological advancement in a specific industry affect the PPF?
A
It causes an outward shift of the PPF on one axis, increasing the production capacity of that particular good.
B
It causes an inward shift of the PPF on both axes, decreasing the production capacity of all goods.
C
It causes an outward shift of the PPF on both axes, increasing the production capacity of all goods.
D
It causes no change to the PPF.
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