Answer
Four supply factors of economic growth are (1) increase in the quantity and quality of natural resources (2) increases in the quantity and quality of human resources (3) Increases in the supply of capital goods (4) improvements in technology. Demand factor: increase in total spending. Efficiency factor: economy must achieve economic efficiency and full employment. All these factors are related and if each of them grow, the PPC will move outwards
Work Step by Step
Four supply factors of economic growth are (1) increase in the quantity and quality of natural resources (2) increases in the quantity and quality of human resources (3) Increases in the supply of capital goods (4) improvements in technology. Demand factor: increase in total spending. Efficiency factor: economy must achieve economic efficiency and full employment. All these factors are related and if each of them grow, the PPC will move outwards.
