Question: CH 01 1 Saved The data in the table below are for the small country of Xanadu. Assume that the economy is originally producing combination

CH 01 1 Saved The data in the table below are for the small country of Xanadu. Assume that the economy is originally producing combination C. A B C D E F Capital Goods 35 49 61 67 71 Capital Goods 2 Consumer Goods 125 100 75 50 25 a. A technological change occurs that enables Xanadu to produce 40% more units of capital goods. Complete the row Capital Goods OK 2, in the table above, given this technological change. Enter your responses, both above and below, rounded to 1 decimal place. b. Assuming the economy wants to continue with the same quantity of consumer goods, it can have more capital goods as a ices result of the technological improvement. c. Assuming the economy wants to continue with the same quantity of capital goods, it can have more consumer goods as a result of the technological improvement. d. Before the technological change, the opportunity cost of the first 100 consumer goods was (Click to select) v e. After the technological change, the opportunity cost of the first 100 consumer goods is (Click to select) v
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
