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In Drawing a Straight-Line Production Possibilities Curve for an Economy

Question 84

Multiple Choice

In drawing a straight-line production possibilities curve for an economy that produces oil and corn, we assume that resources (for example, the number of labor hours)


A) are fixed
B) increase at a constant rate
C) increase at an increasing rate
D) increase at a decreasing rate
E) are not uniform, such as a variety of skills and quality of work

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