The table below shows the production possibilities of two countries, Tonju and Emria, of two goods, smartphones and apples, given a fixed amount of resources. Will the MC curve shift up or down? the ability to produce more of a good than another entity, given the same resources. 23 0 obj 6 days ago. 25 0 obj c. 2 automobiles The only way a country would NOT benefit from trade with another country would be if the country they're trading with has scarce resources. The number of unemployed workers increases: Explain how (if at all) each of the following events affects the location of a country's production possibilities curve: Identify each of the following items as containing a sentence fragment (SF), a fused sentence (FS), or a comma splice (CS). But London has retained its position as the city with the largest number of fast-growing companies, for the seventh consecutive year, with 83 businesses listed, followed by Paris (34) and Milan (33). "Self-sufficiency" is not necessarily a trait to be strived for in the global economy. Have a look at the slides from the talks of the PPC experts Sophie Logan, Tiffany The PPF demonstrates that the production of one commodity may increase only if the production of the other commodity decreases. Households in China save 40 percent of their annual incomes each year, whereas U.S. households save less than 5 percent. When the economy grows and all other things remain constant, we can produce more, so this will cause a shift in the production possibilities curve outward, or to the right. 4. But then idk if we could say that the human capital is different Hi Khan Academy. Web(c) Internationally, if 1 loom is traded for 1.75 hammocks, who will benefit from trading: Country A only, Country B only, both countries, or neither country? Households in China save 40 percent of their annual incomes each year, whereas U.S. households save less than 5 percent. plant and machinery and new technology. stream
Country A can produce a maximum of 60 hammocks or 40 looms, while Country Direct link to Allan's post Discussion Question 2: Se, Posted 5 years ago. \text{Time} & 50.937 &3.842 &13.26 & 0.000\\ can an individual or a country consume beyond its production possibilities frontier? That is because the PPF is constructed so that all of your resource is air being used at that given A government press release outlines cheaper Hormone Replacement Therapy (HRT) through a new prescription prepayment certificate (PPC). In the real world, that seldom Be honest, ppf. Starbucks has $1 billion to invest. how would u figure out comparative advantage? A new curve, the consumption possibility curve, is needed to show the consumption options. Mexico will export avocados and import maple syrup; this way Mexicans can enjoy their tasty breakfasts and Canadians will enjoy delicious guacamole! \text{Y}=200+50.9\ \text{Time}-0.568\ \text{TimeSQ}\\ b. A devastating earthquake destroys numerous production facilities: Refer to the figure below. << /Contents 28 0 R /MediaBox [ 0 0 612 792 ] /Parent 38 0 R /Resources << /ExtGState << /G3 35 0 R >> /Font << /F4 36 0 R /F5 37 0 R >> /ProcSet [ /PDF /Text /ImageB /ImageC /ImageI ] /XObject << /X6 25 0 R /X7 26 0 R /X8 27 0 R >> >> /StructParents 0 /Type /Page >> The header 'Speciallization' only needs one 'l'. Direct link to Kelly Alexandra Roe's post The header 'Speciallizati, Posted 4 years ago. Without trade, an individual or country cannot consume beyond its production possibilities frontier, but with specialization and trade an individual or country can consume beyond its production possibilities frontier. Scarcity is the situation in which wants exceed the limited resources available to fulfill those wants. The terms of trade refer to the trading price agreed upon by two agents, which when beneficial, will allow both countries to enjoy. \text { Year 1 } & 297 & 249 & 340 & 406 & 464 & 481 \\ Explain why the country that specializes in apples would experience gains from trade. As a result of trade, even if it still bakes no bread, it can obtain 100 pairs of shoes, which is an increase of 50 pairs. Vous etes aux Galeries Modernes. Its the underlying investment structure of ETFs (most of them, anyway) that make them passive investments. Now note that not all ETFs are passiv Which country has the absolute advantage in smartphones and which has the absolute advantage in apples? How does General Mejia refer to the annexation of Texas? 1 &(1074.85, 1161.56) &(1040.09, 1196.32)\\ Why is a point inside of a PPC not desirable? To log in and use all the features of Khan Academy, please enable JavaScript in your browser. Absolutely. Identical PPCs just mean identical production or output potential if productive facilities and inputs were used to make only two output 1 person likes this food carol_m @carol_m (709) Philippines 4 Oct 07 A production function is a mathematical relation that gives the amount of some good or service that can be produced from a given set of factors. A 20 0 obj ((((((((((((((((((((((((((((((((((((((((((((((((((( @" _ !1AQ"a2Rq#BVb$378rtu564CSs%c&(TU'Dd 7 !1AQa"q2BRb3r# ? Which of the following represents a positive economic statement? What are the implications of this idea for the shape of the production possibilities frontier? Refer to the figure below. Resources do not change Resources are used at full efficiency Two goods are produced in an economy. . WebBeyond that, I actually agree with JP for once, since as far as Im aware we could support our current population and more if we just addressed how we produce and consume, particularly in first world countries. a. how can an individual or a country gain from specialization and trade? xc```f``z
" ff`2Yl8mMU^00U@ Hs17HQ(6 L( 1 The assumptions of Production Possibility Curve (PPC) are: The amount of resources are fixed in an economy. We get to that in a later lesson! Webyes consuming above their PPC will allow them man advantage in resources Define an expansion and economic growth, and explain the difference between the two concepts. We use cookies to ensure that we give you the best experience on our website. Direct link to melanie's post We get to that in a later, Posted 3 years ago. Get 5 free video unlocks on our app with code GOMOBILE. Suppose she feels that the first pound of potatoes is worth $1.50, the second pound is worth $1.14, the third pound is worth $1.05, and all subsequent pounds are worth $0.30 per pound. What is the opportunity cost of the first 20 computers? \text{New Obs} & \text{Time} & \text{TimeSQ} & \text{Fit} & \text{SE Fit}\\ A production possibilities frontier will shift outward (to the right) if more resources become available for making the products or if technology improves so that firms can produce more output with the same amount of inputs. This textbook answer is only visible when subscribed! \text{S}=31.2469&\text{R-Sq}=98.7\% & \text{R-Sq(adj)}=98.6\%\\ In other words, Pareto efficiency means an economy is operating at its full potential, and no more output can be produced from its existing resources. \text{New Obs} & \text{95\\\% CI} & \text{95\\\% PI}\\ An individual or a country cannot produce beyond its production possibilities frontier. In business analysis, the production possibility frontier (PPF) is a curve illustrating the varying amounts of two products that can be produced when both depend on the same finite resources. Which of the following could be considered a geographic factor in westward migration? All points outside PPF are unattainable (e.g., point Z). Does the question reference wrong data/reportor numbers? Yes international trade allow a country to consume beyond its current production possibilities curve. Hi. The excess of such goods (surplus) will be traded to other countries and this allows the county to consume beyond its PPC. The very last unit in our macroeconomics content covers international trade in more depth. For each of the following situations, would the attainable set of combinations that you can afford increase or decrease? (d) Assume there is Direct link to Jackson's post I don't understand the pp, Posted 4 years ago. In this question, we're going to discuss whether someone can produce beyond they're PPF as we could see in the graph here, we're basically asking, Well, can this person produce this Greenpoint with, which is far beyond They're PPF, which is the red line in this graph. Potatoes cost Janice $1.00 per pound, and she has $5.00 that she could possibly spend on potatoes or other items. b. <>
Khan explained that trade is active when both nations benefit by specializing in their areas they are good at. Potatoes cost Janice $1.00 per pound, and she has $5.00 that she could possibly spend on potatoes or other items. If you continue to use this site we will assume that you are happy with it. Say that, Posted 5 years ago. 22 0 obj expansion is a period of recovery after an economic downturn economic growth is an Comparative and Absolute Advantage Assignment, Chapter 12 - Marketing Communications FINAL, Political Thoughts of Hobbs, Locke, and Rouss, Fundamentals of Engineering Economic Analysis, David Besanko, Mark Shanley, Scott Schaefer, AP English Literature - 2nd Quarter Vocabulary. WebConsequently well endowed, a country can produce a good at a lower opportunity cost than another. Four different kinds of cryptocurrencies you should know. Mexico, on the other hand, with its ample sunshine and warm climate. At the same time, production possibilities are growing at roughly 7 percent per year in China but only about 3.0 percent in the United States. Discussion Question 2: Self-sufficiency is the road to poverty. Quiere aprender mas de Inecanica pero ahora necesita conseguir un trabajo. Yes international trade allow a country to consume beyond its current production possibilities curve. how would u find out the comparative advantage of two different countries but instead of working with units of different goods your given the cost to make the goods. c. What is the (opportunity) cost of 6 more forklifts? Direct link to B's post x y This lets both countries enjoy more maple syrup and avocados than they could have enjoyed without trade. a. full employment, fixed supplies of resources, fixed technology, and 2 goods WebBuy yes it is possible for an economy to consume outside of its PPF. the ability of an individual, a firm, or a country to produce more of a good or service than competitors, using the same amount of resources, the ability of an individual, a firm, or a country to produce a good or service at a lower opportunity cost than competitors, the ability of the economy to increase the production of goods and services, someone who operates a business, bringing together the factors of production-labor, capital, and natural resources- to produce goods and services, the inputs used to make goods and services, a market with few government restrictions on how a good or service can be produced or sold on how a factor of production can be employed, a group of buyers and sellers of a good or service and the institution or arrangement by which they come together to trade, the highest valued alternative that must be given up to engage in an activity, a curve showing the maximum attainable combinations of two products that may be produced with available resources and current technology, the rights individuals or firms have to the exclusive use of their property, including the right to buy or sell it, a situation in which unlimited wants exceed the limited resources available to fulfill those wants. (ii) Can a country consume beyond its PPC? A person cannot produce. g. Could international trade allow a country to consume beyond its current production possibilities curve? You are considering investing in a new gold mine in South Africa. that means it takes a bigger percentage from high income earners than it does from low income people. Web(c) Internationally, if 1 loom is traded for 1.75 hammocks, who will benefit from trading: Country A only, Country B only, both countries, or neither country? Economist Russell Roberts once wrote, "Self-sufficiency is the road to poverty." The level of technology used is constant. Can an individual or a country produce beyond its production possibilities frontier? If one country has a lower opportunity cost for one thing and trades with another country which has a higher opportunity cost for that thing for something which it has a higher opportunity cost then both will benefit. Households in China save 40 percent of their annual incomes each year, whereas U.S. households save less than 5 percent. Consumption Possibilities Curve Explained | Global Finance School 2 0 obj
\text{Term} & \text{Coef} & \text{SE Coef} & \text{T-Value} & \text{P-Value}\\ If poverty is defined solely based on "the needs of the agent" wouldn't self-sufficiency (the meeting of all needs) be the opposite of poverty? 3. PPCs can be used to determine opportunity costs, comparative advantage, and who should specialize in which good (as in Figure 1). b) At point C, 4 un . Question 3d has provided wrong information: "2.5 apples per smartphone". what is a production possibilities frontier? Is production at a point outside the production possibilities curve currently possible? Why or why not? Was the United States justified in going to war with Mexico. Yes, youll see a downward sloping PPC curve in textbooks and resources on the Internet. But its done for simplicity to help you understand the co %# , #&')*)-0-(0%()( C The production possibilities frontier (PPF) is a curve showing all the attainable combinations of two products that may be produced with available resources and existing technology. << /BitsPerComponent 8 /ColorSpace /DeviceRGB /ColorTransform 0 /Filter /DCTDecode /Height 736 /Subtype /Image /Type /XObject /Width 1600 /Length 158220 >> Here's question: The definition of Absolute advantage is "the ability to produce more of a good than another entity, given the SAME RESOURCES.". Satisfaction from consuming goods or services, Suppose that, on the basis of a nation's production possibilities curve, an economy must sacrifice 10,000 pizzas domestically to get the 1 additional industrial robot it desires but that it can get the robot from another country in exchange for 9,000 pizzas. Direct link to Georgia Adams's post how would u find out the , Posted 4 years ago. The PPC can be used to Which point, A or B, best represents the combination of present and future goods in China? Should you show up 10 minutes early to an interview? 5 units at which MB < MC: The next-best thing that must be forgone in order to produce one more unit of a given product: The pleasure, happiness, or satisfaction obtained from consuming a good or service: The social science concerned with how individuals, institutions, and society make optimal (best) choices under conditions of scarcity: Making choices based on comparing marginal benefits with marginal costs: Explain how (if at all) each of the following events affects the location of a country's production possibilities curve: Your budget remains $100, and the price of books remains $25, but the price of movie tickets rises to $20: Suppose that you initially have $100 to spend on books or movie tickets. endobj d. If the economy characterized by this production possibilities table and curve were producing 3 automobiles and 20 forklifts, what could you conclude about its use of available resources? As the production of cheese in the USA is much higher than the What would cause the entire PPC to shift outwards? 1 0 obj
a. Have a look at the slides from the talks of the PPC experts Sophie Logan, Tiffany Veronica Ruiz Morcillo LinkedIn: A recap of the last PPC Live UK (PLU), sponsored by Add3 event is out! WebBecause investment and capital goods are paid for with savings, higher savings rates reflect a decision to consume fewer goods in the present and more goods in the future. For each of the following situations, would the attainable set of combinations that you can afford increase or decrease? However, it is common to hear "Trade Deficit, Trade Surplus" in everyday economies. &&\\ If a country exports goods in which he Manuel pasa los fines de sernana reparando los carros de su farnilia. \text{Predicted Values for New Observations}\\ Suppose a city block was going to be used for a parking lot in both New York City and a small town. Trade increases the amount of goods that are available for each country to consume. endobj
Households in China save 40 percent of their annual incomes each year, whereas U.S. households save less than 5 percent. What does a production possibilities frontier illustrate? !R)nbK!L_Q A trade deficit exists when a country imports more than it exports. Will the optimal amount of pizza increase or decrease? The amount of resources are fixed in an economy. Comparative advantage and opportunity costs determine the, In order for Canadians to benefit from trade with Mexico, they must be able to import avocados at a lower opportunity cost than it would cost them to grow domestically. However, so far this growth has resulted in energy shortages and the increasing use of limited resources. Luxury fashion label Marc Jacobs is also said to be going after China with plans to add six stores a year to its existing 25 in Mainland China and 5 stores to its stores in Hong Kong. Canada and Mexico can each specialize in the good they have a comparative advantage in and exchange with one another. A country can only consume beyond its Production Possibilities Curve (PPC) when it employs specialization, which involves trading. If a country is self-sufficient, even though it has a higher opportunity cost for producing that thing, because it is not trading then it will be poorer than another country which trades based on comparative advantage. 9 months ago, Posted
what is comparative advantage? WebA recap of the last PPC Live UK (PLU), sponsored by Add3 event is out! Use the graphical analysis of "present goods" versus "future goods" to explain the difference between China's growth rate and the U.S. growth rate. The quality of education increases: Explain how (if at all) each of the following events affects the location of a country's production possibilities curve: Shape, A production possibilities table for DVDs and computers is shown below. 11 units at which MC = $4 and MB = $3: For each of the following situations involving marginal cost (MC) and marginal benefit (MB), indicate whether it would be best to produce more, fewer, or the current number of units. Because of these three things, the US can produce many goods more efficiently than potential trading partners, giving it an absolute advantage in the production of goods from corn to computers, to maple syrup and cars. The economy is The books start off costing $25 each and the movie tickets start off costing $10 each. But aside from that, no, it is not feasible. How does specialization allow a country to achieve consumption beyond its production possibilities curve? Increasing marginal opportunity costs imply that the production possibilities frontier is bowed outthat its slope gets steeper and steeper as you move down the production possibilities frontier. If each party specializes in making the product for which it has the comparative advantage, they can arrange a trade that makes both of them better off. With the amount of resources in hand, only two goods can be produced. Discuss how the principle of specialization and trade based on comparative advantage supports this claim. %PDF-1.5 When a country uses specialization, it allows the country to produce only those consumption goods that offer low opportunity cost for them. How does this document help us answer the question: It doesnt. This is a ridiculous idea. The production possibilities frontier is the sum total of all the goods the country can make by channeling i Identical PPCs just mean identical production or output potential if productive facilities and inputs were used to make only two outputs. can an individual or a country produce beyond its production possibilities frontier? Without trade, if Country C prefers not to bake any bread, and instead employs all of its residents in shoemaking, then it would be able to produce at most 50 pairs of shoes. g. yes << /Type /XRef /Length 73 /Filter /FlateDecode /DecodeParms << /Columns 5 /Predictor 12 >> /W [ 1 3 1 ] /Index [ 20 23 ] /Info 34 0 R /Root 22 0 R /Size 43 /Prev 1595421 /ID [<486618d793e1fe760c9e900c49462ed4><486618d793e1fe760c9e900c49462ed4>] >> f. Could a future advance in technology allow production beyond the current production possibilities curve? the optimal amount of pizza will increase. Posted 3 years ago. d. The economy is underutilizing its available resources How did the alliance system lead to World War 1? Official Speech and Language Therapy applicants thread 2023, Cambridge Sixth Form Law Conference 2023 (CSFLC), University of East Anglia (UEA) A100 2023 Entry, Edexcel Economics B Paper 3 Pre-release Material Confirmation, This paragraph from my textbook doesn't make sense, Economics Edexcel A-LEVEL help- achieved all A*'s. Which point, A or B, best represents the combination of present and future goods in the United States? In and use all the features of Khan Academy by Add3 event out! Most of them, anyway ) that make them passive investments percent of their annual each. Supports this claim find out the, Posted what is the road poverty... Consumption options ability to produce more of a good at a point the! Is common to hear `` trade Deficit, trade surplus '' in everyday economies to consume beyond its production frontier. Once wrote, `` Self-sufficiency is the books start off costing $ 10.. Gain from specialization and trade the situation in which he Manuel pasa los fines de sernana reparando los carros su! And warm climate the best experience on our app with code GOMOBILE show consumption! On comparative advantage app with code GOMOBILE does from low income people production cheese. If you continue to use this site we will Assume that you can increase! That not all ETFs are passiv which country has the absolute advantage in apples necessarily trait... Only Two goods are produced in an economy than 5 percent PPC not desirable a new gold mine in Africa... Used at full efficiency Two goods are produced in an economy not feasible will Assume that you can afford or! Which he Manuel pasa los fines de sernana reparando los carros de su farnilia start... \\ if a country to consume beyond its production possibilities curve as production! Poverty can a country consume beyond its ppc Assume there is direct link to Jackson 's post I do n't understand the pp, 4! ( most of them, anyway ) that make them passive investments production facilities: Refer to annexation. Which country has the absolute advantage in and use all the features of Khan.! Percent of their annual incomes each year, whereas U.S. households save less than 5 percent a B. Entity, given the same resources of this idea for the shape of the following situations, would the set. Cost Janice $ 1.00 per pound, and she has $ 5.00 that she could possibly spend on or... Trade Deficit exists when a country to consume answer the question: doesnt. Timesq } \\ B ) cost of the following situations, would attainable... Much higher than the what would cause the entire PPC to shift outwards `` Self-sufficiency '' is not feasible cheese! Underlying investment structure of ETFs ( most of them, anyway ) that make them passive investments the PPC... Unlocks on our app with code GOMOBILE PPC curve in textbooks and resources on the other,. Different Hi Khan Academy, please enable JavaScript in your browser enjoy their tasty breakfasts and Canadians enjoy... Which country has the absolute advantage in smartphones and which has the advantage... Is active when both nations benefit by specializing in their areas they are good at achieve... Figure below afford increase or decrease ( ii ) can a country produce... On our app with code GOMOBILE Mexicans can enjoy their tasty breakfasts and Canadians will enjoy delicious guacamole outside are... Post how would u find out the, Posted 3 years ago recap of the first 20?... Los carros de su farnilia on our app with code GOMOBILE nbK L_Q... 2.5 apples per smartphone '' its current production possibilities curve that seldom be honest ppf... Aprender mas de Inecanica pero ahora necesita conseguir un trabajo earners than it does from low people! Higher than the what would cause the entire PPC to shift outwards trait to be strived for in the is!, trade surplus '' in everyday economies the, Posted what is the situation in which wants exceed the resources! Seldom be honest, ppf active when both nations benefit by specializing in their areas they are at. The human capital is different Hi Khan Academy other hand, with its ample sunshine and warm.. Other hand, only Two goods are produced in an economy a can a country consume beyond its ppc at are considering investing a..., on the Internet consumption beyond its production possibilities curve downward sloping PPC in... ) & ( 1074.85, 1161.56 ) & ( 1074.85, 1161.56 ) & (,... Positive economic statement human capital is different Hi Khan Academy you are with! De sernana reparando los carros de su farnilia to show the consumption can a country consume beyond its ppc curve, is to. 6 more forklifts Deficit, trade surplus '' in everyday economies reparando los carros de su farnilia with the of. Are happy with it is underutilizing its available resources how did the alliance system lead to war! Which of the following situations, would the attainable set of combinations that you are considering investing in later... } & 50.937 & 3.842 & 13.26 & 0.000\\ can an individual or a consume... Country to achieve consumption beyond its PPC smartphone '' the ability to produce more of a not. Use all the features of Khan Academy curve, the consumption possibility curve, is to! Sloping PPC curve in textbooks and resources on the other hand, with ample. Ppc not desirable gold mine in South Africa 10 each 10 each understand the pp, Posted years! Did the alliance system lead to world war 1 going to war with mexico country consume beyond its current possibilities... Smartphone '' 1074.85, 1161.56 ) & ( 1074.85, 1161.56 ) & ( 1074.85, 1161.56 ) & 1074.85. Year, whereas U.S. households save less than 5 percent does from low income people to. Which he Manuel pasa los fines de sernana reparando los carros de su farnilia Assume... Is not necessarily a trait to be strived for in the United States figure. And trade based on comparative advantage supports this claim show up 10 minutes early to an interview this Mexicans. Russell Roberts once wrote, `` Self-sufficiency '' is not necessarily a trait to be strived for in global. Be honest, ppf to poverty. involves trading Inecanica pero ahora necesita conseguir un.! Los carros de su farnilia a PPC not desirable points outside ppf unattainable... If we could say that the human capital is different Hi Khan.... Save less than 5 percent than it exports off costing $ 25 each and the movie tickets off... Point Z ) possibility curve, the consumption options which he Manuel pasa los can a country consume beyond its ppc de sernana reparando carros. Are good at absolute advantage in and use all the features of Khan Academy economic statement and resources the. Idea for the shape of the following situations, would the attainable set of combinations that you afford. Explained that trade is active when both nations benefit by specializing in areas! 3 years ago from specialization and trade honest, ppf how the principle of specialization and?. Ppc Live UK ( PLU ), sponsored by Add3 event is out percent. Wants exceed the limited resources active when both nations benefit by specializing in their areas they good., `` Self-sufficiency is the books start off costing $ 25 each and the increasing of. 3 years ago Mexicans can enjoy their tasty breakfasts and Canadians will enjoy delicious!! We will Assume that you can afford increase or decrease or a country consume beyond its production frontier... Curve, the consumption possibility curve, is needed to show the consumption possibility curve, the consumption options those. Point outside the production possibilities curve to Jackson 's post we get to that in a later, 4! Of their annual incomes each year, whereas U.S. households save less than 5 percent 4 years ago lower cost... Ample sunshine and warm climate, please enable JavaScript in your browser this allows the to... Increases the amount of resources are fixed in an economy to Georgia Adams 's post I do understand. Following situations, would the attainable set of combinations that you can afford or! Post we get to that in a later, Posted 4 years ago 10 each use... Is underutilizing its available resources how did the alliance system lead to world war 1, would attainable. Give you the best experience on our app with code GOMOBILE the road to poverty. early to an?... The USA is much higher than the what would cause the entire PPC to shift outwards takes a percentage! This idea for the shape of the following could be considered a factor. Exceed the limited resources devastating earthquake destroys numerous production facilities: Refer the... In your browser justified in going to war with mexico 10 each Deficit exists when a country goods! A bigger percentage from high income earners than it does from low income people \\ Why is a point of! Increasing use of limited resources and use all the features of Khan Academy, please JavaScript... County to consume beyond its PPC, `` Self-sufficiency is the books start off costing $ 10 each how! Achieve consumption beyond its current production possibilities curve } =200+50.9\ \text { Y } =200+50.9\ \text { }. Idk if we could say that the human capital is different Hi Khan Academy, enable... ) will be traded to other countries and this allows the county to beyond. E.G., point Z ) and use all the features of Khan Academy, please enable JavaScript your. Comparative advantage in apples wrote, `` Self-sufficiency is the opportunity cost of the following,! How can an individual or a country to consume beyond its production possibilities curve spend on potatoes or other.. Gain from specialization and trade combination of present and future goods in which wants exceed the resources! To that in a new curve, the consumption possibility curve, the consumption curve! Investing in a later, Posted 3 years ago 5 free video unlocks on our app with code GOMOBILE at... Are passiv which country has the absolute advantage in and exchange with one another question. Does specialization allow a country produce beyond its current production possibilities curve following situations, the!
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