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Draw a Production Possibilities Frontier (PPF)for Good a and Good

Question 146

Essay

Draw a production possibilities frontier (PPF)for good A and good B.Suppose that these goods are subject to increasing relative costs in production,and be sure that your graph reflects this fact.
Now suppose that a new and innovative technology enhances the production of good A but not good B.Illustrate how this new innovation changes the production possibilities frontier (PPF).

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