Using a production possibilities frontier determine how does a country's PPF change in response to the events described below . Make sure to explicit what sort of assumption each event implies (neutral effect or sector biased effect).and what sectors you are representing . The latter follows from your assumptions on the factor intensity of the sector you are representing. 1. Reducing import taxes on primary inputs. 2. The discovery of new mineral deposits in a country.
Using a production possibilities frontier determine how does a country's PPF change in response to the events described below . Make sure to explicit what sort of assumption each event implies (neutral effect or sector biased effect).and what sectors you are representing . The latter follows from your assumptions on the factor intensity of the sector you are representing. 1. Reducing import taxes on primary inputs. 2. The discovery of new mineral deposits in a country.
Chapter2: Productions Possibilities, Opportunity Costs, And Economic Growth
Section: Chapter Questions
Problem 10SQ
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Using a production possibilities frontier determine how does a country's PPF change in response to the events described below .
Make sure to explicit what sort of assumption each event implies (neutral effect or sector biased effect).and what sectors you are representing . The latter follows from your assumptions on the factor intensity of the sector you are representing.
1. Reducing import taxes on primary inputs.
2. The discovery of new mineral deposits in a country.
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