-Suppose Puerto Rico and Hawaii Currently Have the Same Production

question 151

Multiple Choice

-Suppose Puerto Rico and Hawaii currently have the same production possibilities so that the above figure is the PPF for hotels and consumption goods in the two areas.Hotels are a capital good that,once built,will help produce still more consumption goods.If Puerto Rico produces more hotels than Hawaii,

• A) Hawaii's PPF will shift outward further than Puerto Rico's PPF.
• B) Hawaii's PPF will shift inward.
• C) Puerto Rico's PPF will not shift.
• D) Puerto Rico's and Hawaii's PPF will shift outward by the same amount.
• E) Puerto Rico's PPF will shift outward further than Hawaii's PPF.

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Definitions:

Greenhouse Gas Emissions

The release of gases like carbon dioxide and methane into the atmosphere, which trap heat and contribute to global warming and climate change.

Productive Ecosystems

Ecosystems characterized by high levels of primary productivity, capable of supporting diverse species through abundant resources.

Overfishing

The practice of fishing at rates too high for fish populations to naturally replenish, leading to a depletion of the species.