Which points are most efficient for the utilization of resources on a production possibilities diagram?
The most efficient points on a production possibilities diagram are the points located on the production possibilities frontier (PPF). These points represent the maximum possible combination of goods and services that can be produced, given the available resources and technology. Any point located on the PPF is considered efficient because it indicates that resources are being used to their full potential.
Points inside the PPF, on the other hand, represent underutilization of resources as the economy is not producing at its maximum potential. Points outside the PPF are currently unattainable given the available resources and technology.
In summary, the most efficient points on a production possibilities diagram are those located on the production possibilities frontier (PPF), representing the optimal use of available resources.