Question

Refer to the production possibilities curve. At the onset of the Second World War, the Soviet Union was already at full employment. Its economic adjustment from peacetime to wartime can best be described by the movement from point:

Answer 1

From point D to point B on the production possibility curve.

Explanation:

Production possibility curve is the curve that shows the combination of the goods that a particular country can produce with the given amount of the resources that the country possess.

To increase the production of a particular good, the country should reduce the production of the other good and substitute it with the production of the other good because of the limited amount of the resources available with the country.