PRODUCTION - 3

All choices along a PPC (line) display productive efficiency.

• True

• False

In this PPC, clothes is on the horizontal axis.

• True

• False

Points that lie on the PPC are combinations of output that are productively efficient.

• True

• False

Spending on capital goods is considered an investment.

• True

• False

In this PPC, there is a rightward shift.

• True

• False

In this PPC, capital goods is on the vertical axis.

• True

• False

In this PPC, production of capital goods is more at point 5.

• True

• False

Average product multiplied by labour equals total product.

• True

• False

In this PPC, consumer goods is on the horizontal axis.

• True

• False

The PPF relates to the concepts of scarcity, choice, and tradeoffs.

• True

• False