During a recession, the economy experiences a) b) or c)? ?
a. Productive inefficiency because it moves to the point inside the PPF
b. Allocative inefficiency because the PPF shifts inwards
c. No change in efficiency but the economy moves to a point inside the PPF
Note: there was a fourth option that I picked but it was wrong which narrows it down to three three...please explain the answer so I can understand.
- ZirpLv 71 month ago
For better answers you may want to translate the question to English