Principles of Macroeconomics / Unit 1 MAC 0024 short lesson, about 20 seconds
Growth Shifts the Frontier
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The idea
There are two ways to get more of everything. Move from inside the frontier onto it by ending inefficiency, or shift the frontier outward through economic growth.
In practice
More labor, more capital or better technology moves the whole curve out.
Where people slip
A movement along the frontier is a tradeoff; a shift of the frontier is growth. Unit four takes up the causes.
Your place on the trail
Every lesson rests on earlier ones and opens later ones. Tap any to jump.
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