If Points a and B Are Two Locations on a Country's

question 20

Multiple Choice

If points A and B are two locations on a country's production possibility frontier,then

• A) the country could produce either of the two bundles.
• B) consumers are indifferent between the two bundles.
• C) producers are indifferent between the two bundles.
• D) at any point in time, the country could produce both.
• E) both bundles must have the same relative cost.

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Definitions:

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