Change in preference and production possibility frontier .

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Draw and explain a production possibilities frontier for an economy that produces cheese and milk. What happens to this frontier if a disease kills half of the economy’s cows? Use a production possibilities frontier to describe the idea of “efficiency.” kindly solve both parts.

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Chapter 2, Problem 4CQQ

To determine

Change in preference and production possibility frontier.

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Draw and explain a production possibilities frontier for an economy that produces cheese and milk. What happens to this frontier if a disease kills half of the economy’s cows? Use a production possibilities frontier to describe the idea of “efficiency.” kindly solve both parts.

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Which of the following is the most accurate statement about production possibilities? Question 10Answer a. An economy can produce at any point inside the production possibilities frontier, but not on or outside the frontier. b. An economy can produce at any point on or inside the production possibilities frontier, but not outside the frontier c. An economy can produce at any point inside or outside a production possibilities frontier. d. An economy can produce only on the production possibilities frontier.