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In Mexico each unit of resource can produce either one Professional computer (with business and scientific applications) or tree games. Mexico has 30 units of this resource.

a. Draw mexico's production possibility curve.
b. what is the opportunity cost of one professional computer in terms of games?
c. is the production of professional computers subject to constant or increasing cost?
d. which of the two goods being produced is considered a capital good?
e. In the absence of trade, should mexico increase production of professional computers or computer-games if it is desires more rapid economic growth.

Microeconomics, Economics

  • Category:- Microeconomics
  • Reference No.:- M974993

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