True$/$ False Statements $(20$

$20$ points

Marks $-5$ marks each$)$

True False

If the

Production

Possibility

Frontier $($PPF$)$

is bowed

outward, it

indicates an

increasing

opportunity

cost$.$

The production

possibilities

frontier shows

the various

products that

can be

produced now

and, in the

future.

If a country has

an absolute

advantage in

producing a

good, it

definitely also

has a

comparative

advantage in

producing that

good.

Economic

growth is

depicted by a

shift in the

production

possibilities

frontier

outward.

True or false