1.

Which of these is not an assumption of PPC?A. Resources are fully and efficiently utilisedB. Resources in the economy are fixedC. There is no change in level of technologyD. Resources are equally efficient in production of all products

Answer» Correct Answer - D
D. The four key assumptions underlying production possibilities analysis are: (1) resources are used to produce one or both of only two goods, (2) the quantities of the resources do not change, (3) technology and production techniques do not change, and (4) resources are used in a technically efficient way.


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