Answer:
D
Step-by-step explanation:
A production possibilities curve shows the maximum amount of 2 goods that can be produced given the input is fixed.
- The points that lie on the curve gives different combinations of output of 2 goods given that resources shifts from one to another.
- The point outside the curve are impossible combination because with current resources, this much of both goods cannot be produced.
- The point inside the curve shows inefficient use of resources because more could be produced of each good given the resources.
So the point which uses resources inefficiently is the one inside the curve, which is Y.
Answer choice D is right.
