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See attached 1. (3 points) A closed economy produces two different commodities, X and Y. The economy is initially located on the production possibilities frontier

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1. (3 points) A closed economy produces two different commodities, X and Y. The economy is initially located on the production possibilities frontier and this is not shifting over time. Given the current production levels, the marginal rate of transformation between goods X and Y equals one. Suppose now that, starting from this same point, one more unit of X is produced and two units of Y are seen to be sacrificed instead. What might be the explanations for this fact? Illustrate your answer with a graph

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