-The Above Figure Shows the PPF for a Country That

question 98

Multiple Choice

-The above figure shows the PPF for a country that produces computers and computer factories.Which of the following would most likely shift the PPF from PPF₀ in one year to PPF₁ in the next?

• A) Nothing, because the PPF does not shift.
• B) Increase the production of computers from 9 million (at point
• C) to 11 million (at point
• B).
• C) Decrease the production of computers from 11 million (at point
• B) to 9 million (at point
• C) and build 9 new computer factories.
• D) Increase consumption of both computers and computer factories.
• E) Decrease production of both computers and computer factories by moving into the interior of the PPF.

Understand the factors that limit economic growth in developing nations.

Identify the impact of capital shortages on developing economies.

Describe the phenomenon of capital and brain drain and its impact on developing countries.

Recognize the importance of infrastructure in economic development.

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Definitions:

Idiographic Data

Information that pertains to specific, individual cases or entities, highlighting unique aspects rather than generalizations.

Nomothetic Data

Information that pertains to general laws or principles governing behavior, used in contrast to idiographic data focusing on individual cases or instances.

Nervous Breakdown

A colloquial term for a stressful situation in which someone becomes temporarily unable to function normally in day-to-day life.

Clinical Syndrome

A combination of symptoms and signs that together represent a disease or disorder.