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If Ying Must Decrease Production of Some Other Product to Increase

Question 52

Multiple Choice

If Ying must decrease production of some other product to increase his production of houses, then Ying


A) is producing on his production possibilities frontier.
B) is producing outside his production possibilities frontier.
C) is producing inside his production possibilities frontier.
D) must prefer houses to any other product.
E) has too little capital equipment.

Correct Answer:

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