(Questions 17 and 18 pertain to material in Appendix A.)
Given the convex to-the-origin production-possibilities frontier (PPF) :

Suppose that we envision a very slight movement of production away from the equilibrium point E toward point F (with unchanged goods prices) . If this movement Takes place, (P_X/P_Y) will be __________ (MC_X/MC_Y) , and production will thus move
__________.

Question

(Questions 17 and 18 pertain to material in Appendix A.)
Given the convex to-the-origin production-possibilities frontier (PPF) :

Suppose that we envision a very slight movement of production away from the equilibrium point E toward point F (with unchanged goods prices) . If this movement Takes place, (P_X/P_Y) will be __________ (MC_X/MC_Y) , and production will thus move
__________.

Quizplus · Accepted Answer

The Answer of (Questions 17 and 18 pertain to material in Appendix A.) Given the convex to-the-origin production-possibilities frontier (PPF): Suppose that we envision a very slight movement of production away from the equilibrium point E toward point F (with unchanged goods prices). If this movement Takes place, (P_X/P_Y) will be __________ (MC_X/MC_Y), and production will thus move __________.

(Questions 17 and 18 Pertain to Material in Appendix A