English

Which of the following will not lead to shift in PPF?

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Question

Which of the following will not lead to shift in PPF?

Options

  • Upgradation of Technology

  • Exploration of new oil reserves

  • Massive unemployment

  • Destruction of Resources

MCQ
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Solution

Massive unemployment

Explanation:

Massive unemployment does not change the productive capacity of the economy; it only makes the economy operate inside the PPF. Technological upgradation, new resources, and destruction of resources change capacity and shift the PPF.

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Chapter 1: Introduction - OBJECTIVE QUESTIONS [Page 1.34]

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Sandeep Garg Introductory Microeconomics [English] Class 11
Chapter 1 Introduction
OBJECTIVE QUESTIONS | Q 15. | Page 1.34
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