Suppose That, in a PPF Graph, Wheat Is on the Vertical

question 55

Multiple Choice

Suppose that, in a PPF graph, wheat is on the vertical axis and jets are on the horizontal axis. Moving down along the PPF, the

• A) number of jets increases and the opportunity cost of jets increases.
• B) amount of wheat increases and the opportunity cost of wheat decreases.
• C) number of jets increases and the opportunity cost of jets decreases.
• D) amount of wheat increases and the opportunity cost of wheat increases.
• E) opportunity cost of jets and wheat both increase.

---

Definitions:

Supply Of Dollars

The total amount of US dollars available in the economy, including physical currency and bank balances.

Foreign-Currency Exchange

The process of exchanging one currency for another, determining how much of one currency you can get for another.

Net Capital Outflow

The difference between the domestic country's total investment abroad and foreign investments within the domestic country.

Argentinean Government

The government or political leadership of Argentina, a country located in South America.