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What is the awnser ? CENGAGE MINDTAP Homework (Ch 03) Suppose China produces only trucks and cars. The resources that are used in the production

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CENGAGE MINDTAP Homework (Ch 03) Suppose China produces only trucks and cars. The resources that are used in the production of these two goods are not specialized-that is, the same set of resources is equally useful in producing both cars and trucks. The shape of China's production possibilities frontier (PPF) should reflect the fact that as China produces more cars and fewer trucks, the opportunity cost of producing each additional car The following graphs show two possible PPFs for China's economy: a straight-line PPF (PPF1) and a bowed-out PPF (PPF2). ? ? Graph 1 Graph 2 PPF , PPF TRUCKS TRUCKS CARS CARS Based on the previous description, the trade-off China faces between producing cars and trucks is best represented by

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