Assume the economy can produce either sports utility vehicles (SUVs) or minivans. The graph below depicts the current production
possibilities frontier (PPF). Suppose the economy experiences a large increase in immigration. Move the end points of the PPF below to show how the PPF changes. Assume that the increase in immigration affects the economy's ability to produce both minivans and SUVs.
This is an example of:
a) economic contraction.
b) economic stagnation.
c) economic recession
d) economic growth.
This is an example of:
a) economic contraction.
b) economic stagnation.
c) economic recession
d) economic growth.
2 answers:
You might be interested in