a) The bowed outward PPF shows trade -off in production andcost of the good.b) If an economy discovers a new natural resource, its PPF would shiftc) All the points inside the PPF indicate productivelyd) Bowed outward PPF shows that there isopportunityin the skill level of theworker.e) Before a country engages in international trade, it specializes in a good where it hasadvantage.

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Answered: a) The bowed outward PPF shows trade…

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a) The bowed outward PPF shows trade -off in production and cost of the good. opportunity

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

a) The bowed outward PPF shows trade -off in production and
cost of the good.
b) If an economy discovers a new natural resource, its PPF would shift
c) All the points inside the PPF indicate productively
d) Bowed outward PPF shows that there is
opportunity
in the skill level of the
worker.
e) Before a country engages in international trade, it specializes in a good where it has
advantage.

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