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PPF - Outward Shifts
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Problem 10
PPF - Outward Shifts
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2. Introductory Economic Models / PPF - Outward Shifts / Problem 10
Problem 10
If a country discovers a new mineral resource, how should the PPF be adjusted?
A
The PPF should shift inward, indicating decreased production capacity for all goods.
B
The entire PPF should shift outward, indicating increased production capacity for all goods.
C
The PPF should shift outward on one axis, indicating increased production capacity for one good.
D
The PPF should remain unchanged as the resource is not yet utilized.
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