Questions: Question 10 (1 point) Listen The following graph is the production possibilities curve of a nation: Refer to the above graph. The combination " 5 drill presses and 2 bread" indicates: 1) An unattainable combination for the nation 2) Some resources in the nation are unemployed 3) An ideal combination for the nation 4) A combination produced when the nation is at full employment

Question 10 (1 point)
Listen
The following graph is the production possibilities curve of a nation:

Refer to the above graph. The combination " 5 drill presses and 2 bread" indicates:
1) An unattainable combination for the nation
2) Some resources in the nation are unemployed
3) An ideal combination for the nation
4) A combination produced when the nation is at full employment

Transcript text: Question 10 (1 point) Listen The following graph is the production possibilities curve of a nation: Refer to the above graph. The combination " 5 drill presses and 2 bread" indicates: 1) An unattainable combination for the nation 2) Some resources in the nation are unemployed 3) An ideal combination for the nation 4) A combination produced when the nation is at full employment

Solution

Solution Steps

Step 1: Understand the Production Possibilities Curve (PPC)

The Production Possibilities Curve (PPC) illustrates the maximum possible output combinations of two goods that an economy can achieve when all resources are fully and efficiently utilized.

Step 2: Identify the Given Combination

The combination given is "5 drill presses and 2 bread." Locate this point on the graph to determine its position relative to the PPC.

Step 3: Analyze the Position of the Combination

The point (5 drill presses, 2 bread) lies on the curve, indicating that it is a feasible and efficient combination of goods that the nation can produce when resources are fully employed.