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Describe the Adjustments in the Production Possibilities Curves in Each

Question 41

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Describe the adjustments in the production possibilities curves in each of the following situations for the Canadian economy.(a) the economy moves from full employment into a deep recession
(b) the economy makes great strides in eliminating discrimination
(c) the end of the Cold War leads to cuts in military spending
(d) the government significantly increases spending for health and education

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(a) The economy begins at a point on the...

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