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Dynamic Gains in Both the Stock of a Country's Resources

Question 79

Multiple Choice

Dynamic gains in both the stock of a country's resources and the efficiency with which resources are utilized will:


A) cause the country's production possibility frontier to assume a bell-shaped curve.
B) enable the country to produce more goods than it did before the introduction of free trade.
C) cause the country's production possibility frontier to shift inward.
D) enable the country to achieve constant returns to specialization.
E) diminish static gains that stagnate economic growth.

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