In the Figure Given Below, We See an Expansion of the Production-Possibility

question 34

Multiple Choice

In the figure given below, we see an expansion of the production-possibility curve (from PPC₁ to PPC₂) . The two goods produced are wheat and cloth, which are land-intensive and labor-intensive respectively. The outward shift of the production-possibility curve is likely the result of: $$\text { Wheat }$$

• A)a fall in average cost of producing cloth.
• B)an increase in the price of cloth.
• C)an increase in the size of the labor force, the area under cultivation remaining unchanged.
• D)an increase in the national amount of usable land, the size of the labor force remaining unchanged.

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Definitions:

Infant Memory

The capacity of infants to encode, store, and retrieve information experienced early in life.

Preferential Looking

A research methodology based on the observation that infants will look longer at more interesting or complex visual stimuli, used to assess vision and cognitive processing.

Accommodation

In cognitive development, the process by which an individual modifies existing cognitive schemas, perceptions, and understandings to make new information fit.

Habituation

The gradual decline in the intensity, frequency, or duration of a response when repeatedly exposed to a stimulus; indicates learning.