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What is the effect The Index That ing thinkwell.cachetly.n... Macroeconomics C Search Textbooks thinkwell student Assessments thinkwell.cachefly.n.. Ecnomics Chapter... (12) Study the graph below. A movement from point A to point B would most likely result in sacrificing the production of capital goods for the production of consumption goods. an outward shift of the production possibilities frontier (PPF) curve. O a lower level of full employment. higher prices. B IRE IA Се CA с (13) An outward shift of the long-run aggregate supply curve will raise an economy's standard of living. O increases unemployment. O is caused by a depletion of natural resources. increases the aggregate price level. (14) If an economy's productio possibilities frontier (PPF) curve shifts outward, we can expect the to shift aggregate demand curve; inward aggregate demand curve; outward long-run aggregate supply curve; outward long-run aggregate supply curve; inward (15) All of the following would be considered capital goods, except a dump truck Aminata MacBook Pro

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Q1) a) sacrificing the production of capital goods for the production of the consumption goods .
A PPC is the graphical representation of different combination of two goods that can be produced by using all the resources. While moving on the PPC , Units of one good are sacrificed to increase the production of the other good .


Q13) a) will raise the economy's  standard of living
An outward shift in the AS curve mean increase the Aggregate supply . It means increase in the productivity of the resources and increase in the volume of the resources . THe economy can produce more ,which will increase the GDP per Capita . THe standard of living will be raised.

Q14) c) long run aggregate supply curve , outward

IF the PPC shifts outwards it means , there is an increase in the capacity to produce due to increase in resources , greater efficiency etc . THe economy will be able to produce more , thereby shifting the AS curve towards the right ( outwards) .