In Figure 14, suppose the country is producing in equilibrium at A. If Px then increases such

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In Figure 14, suppose the country is producing in equilibrium at Aʹ. If Px then increases such that it would lead to production at Bʹ on the “normal” PPF, would the same change in relative prices lead to production precisely at Cʹ in the specific-factors case? Why or why not?
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International Economics

ISBN: 9780078021671

8th Edition

Authors: Dennis Appleyard, Alfred Field

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