Table 11 U -Refer to Table 1

Table 1.1. U.S. Production Possibilities Curve Data
$$\begin{array} { l r r r r r r } & \text { A } & \text { B } & \text { C } & \text { D } & \text { E } & \text { F } \\\text { Capital goods } & 5 & 4 & 3 & 2 & 1 & 0 \\\text { Consumer goods } & 0 & 12 & 22 & 30 & 36 & 40\end{array}$$
-Refer to Table 1.1. If the economy produces 4 capital goods and 10 consumer goods, the economy

A) operates at a point outside of its production possibilities schedule
B) faces excess productive capacity
C) experiences price inflation
D) has realized economic growth

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