Question

13 multiple choice 1 point a technological advance is best represented by a shift inward of the production possibilities curve. a movement from inside the production possibilities curve to a point on the production possibilities curve. a shift outward of the production possibilities curve. a movement from the production possibilities curve to a point inside the production possibilities curve. 14 multiple choice 1 point which of the following events would allow the production possibilities curve to shift outward? the economy’s capital stock declines. technology is lost. people begin to retire at earlier ages. more teenagers enter the labor force. 15 multiple choice 1 point the invisible hand refers to intervention in the economy by the government bureaucrats we do not see and over whom we have no control. undiscovered natural resources. the allocation of resources by market forces. the person who has the responsibility to coordinate all the markets in a market economy.

Explanation:

1. A technological advance increases an economy's productive capacity, which is shown by a shift outward of the production - possibilities curve.
2. An outward shift of the production - possibilities curve occurs when there is an increase in resources (like more labor with more teenagers entering the labor force). Declining capital stock, losing technology, and earlier retirements reduce productive capacity.
3. The invisible hand, as described by Adam Smith, refers to the allocation of resources by market forces, where self - interested behavior of individuals leads to an efficient outcome for society.

Answer:

1. C. a shift outward of the production possibilities curve
2. D. More teenagers enter the labor force
3. C. the allocation of resources by market forces