Multiple Choice
(Questions 17 and 18 pertain to material in Appendix A.)
Given the convex to-the-origin production-possibilities frontier (PPF) :
Suppose that we envision a very slight movement of production away from the equilibrium point E toward point F (with unchanged goods prices) . If this movement Takes place, (PX/PY) will be __________ (MCX/MCY) , and production will thus move
__________.
A) less than; back to point E
B) less than; further away from point E
C) greater than; back to point E
D) greater than; further away from point E
Correct Answer:

Verified
Correct Answer:
Verified
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