Most former communist governments of Eastern Europe subsidized food production ( both in absolute terms and rela-tive
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Most former communist governments of Eastern Europe subsidized food production ( both in absolute terms and rela-tive to any subsidies provided other goods). Explain the effect of this policy on the relationship between the typical Eastern European consumer’s marginal rate of substitution between food and all other goods ( treated as a composite good) and the marginal rate of transformation between food and all other goods.
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Microeconomics Theory and Applications
ISBN: 978-1118758878
12th edition
Authors: Edgar K. Browning, Mark A. Zupan
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