A country can achieve some combination of goods outside its production possibilities curve by:

A) idling some of its resources.
B) specializing and engaging in international trade.
C) buying the debt (bonds and stocks) of foreign nations.
D) producing more capital goods and fewer consumer goods.

Question

Ayush Rohilla · Accepted Answer

Final Answer : B, Explanation :  By specializing in the goods that they can produce more efficiently and trading with other countries, a country can obtain goods that are outside their production possibilities curve. This allows them to use their resources more efficiently and obtain a wider variety of goods for consumption or investment. The other options, such as idling resources or buying foreign debt, do not allow a country to expand its production capabilities or increase its access to goods. Producing more capital goods and fewer consumer goods may allow for future growth but still does not address the issue of obtaining goods that are outside the production possibilities curve.

A country can achieve some combination of goods outside its production possibilities curve by:

A) idling some of its resources.
B) specializing and engaging in international trade.
C) buying the debt (bonds and stocks) of foreign nations.
D) producing more capital goods and fewer consumer goods.

Definitions

Learning Objectives

Learning Objectives

Related questions

A country can achieve some combination of goods outside its production possibilities curve by:A) idling some of its resources.B) specializing and engaging in international trade.C) buying the debt (bonds and stocks) of foreign nations.D) producing more capital goods and fewer consumer goods.

Definitions

Learning Objectives

Learning Objectives

Related questions

A country can achieve some combination of goods outside its production possibilities curve by:

A) idling some of its resources.
B) specializing and engaging in international trade.
C) buying the debt (bonds and stocks) of foreign nations.
D) producing more capital goods and fewer consumer goods.