Question
Suppose an economy moves down and to the right along its bowed out PPF. This means a. an increase in the relative price of the
Suppose an economy moves down and to the right along its bowed out PPF. This means
a.
an increase in the relative price of the good on the horizontal axis.
b.
a decrease in the relative price of the good on the horizontal axis.
c.
an increase in the relative price of the good on the vertical axis.
d.
a decrease in the money price of the good on the vertical axis.
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Macroeconomics Principles Applications and Tools
Authors: Arthur O'Sullivan, Steven Sheffrin, Stephen Perez
9th edition
978-0134089027, 134089022, 978-0134420684
