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Refer to the graph below that shows a production possibility curve with some possible production points.
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Here are the answers to your questions based on the provided graph:
a) In reference to the present PPC, the point that indicates resources are not fully utilized is C. This point lies inside the present PPC, meaning the economy is producing below its full potential.
b) In reference to the present PPC, the point(s) that indicate a combination of the two goods not attainable with available resources are A and D. These points lie outside the present PPC, indicating that with current resources and technology, these production levels cannot be reached.
c) If the future PPC is achieved, it implies that the economy has experienced economic growth. This means there has been an increase in the economy's productive capacity, allowing it to produce a greater quantity of both goods than before. This shift could be due to factors such as technological advancements, an increase in the quantity or quality of resources (e.g., labor, capital), or improved efficiency in production.
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