Question

A point that lies inside the production possibilities curve reflects which of the following?

a. Resources are not being used efficiently.
b. Resources are being used very efficiently.
c. Opportunity costs are constant.
d. An output combination that is unobtainable with the current.

Answer 1

A point inside the production possibilities curve reflects that resources are not being used efficiently.

Step-by-step explanation:

A point that lies inside the production possibilities curve reflects that resources are not being used efficiently. This means that the economy is not maximizing its output given the available resources and technology.