GROWTH DEVELOPMENT CHILD
GROWTH AND DEVELOPMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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The Production Possibility Frontier
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The Gross Domestic Barrier
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The Marginal Consumption Frontier
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The Minimum Efficient Scale
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Detailed explanation-1: -Economic growth occurs when an economy’s production at the full employment level increases. Increase in the production at the full employment level is shown by an outward shift of production possibility frontier (PPF).
Detailed explanation-2: -When the production possibilities frontier shifts outward, it represents an increase in the maximum possible output at every combination of factors of production, that is an increase in the real GDP. Hence, economic growth is reflected through the outward shift of the PPC.
Detailed explanation-3: -Answer and Explanation: An outward shift of the production possibilities curve represents (3) economic growth. When the PPC shifts outward, more of both goods are able to be produced. This results in increased production levels, which is a measure of economic growth.
Detailed explanation-4: -Economic growth in the production possibilities curve (PPC) model. The production possibilities curve illustrates the maximum combination of output of two goods that an economy can produce, such as capital goods and consumption goods. If that curve shifts out, the capacity to produce has increased.