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Question 2 Use the diagram below to answer the questions that follon. What change could cauze the PEF to shift from the original curve (-2)

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Question 2 Use the diagram below to answer the questions that follon. What change could cauze the PEF to shift from the original curve (-2) 1o the new curve (MNI? b) Under het conditions might an economy be operating at point Z! le why might e government implement a policy to move the economy from Paint to Point w M w CAPITAL GOODS Z N CONSUMER GOODS

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