Consider the Following Graph

question 31

Multiple Choice

Consider the following graph. What would cause a downward shift of the production function?

• A) a war that creates a large amount of political instability
• B) a decrease in capital
• C) a decrease in investment
• D) an increase in depreciation
• E) a decrease in real gross domestic product GD

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Definitions:

Subsurface Mining

Extraction of minerals and resources from below Earth's surface, involving techniques that may harm the environment through alteration of land structure and pollution.

Longwall Mining

A method of coal mining where a long wall of coal is mined in a single slice, typically used in underground mines.

Smelting

The process of extracting a metal from its ore by using heat and a chemical reducing agent to decompose the ore, removing impurities.

Igneous Rocks

Rocks formed from the cooling and solidification of magma or lava, classified into intrusive (slow cooling inside the earth) and extrusive (quick cooling on the surface) types, such as granite and basalt.