Two countries, Alpha and Beta, have identical production possibilities frontiers. What is the outcome if Alpha produces at poi
1 answer:
Answer:
C.) Alpha consumes more than Beta today, but it will grow slower than Beta.
Explanation:
In the case when the two countries i.e. Alpha and beta have the same kind of production probabilities so the outcome when the alpha produced at point A while beta produced at point b is that the alpha consumers more than beta but the growth is slow as compared to beta because the beta is the point where there is a large capital but the less consumption. And, when there is a more capital goods so the growth if we compared with the alpha growth
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