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    Exam 3: Gains and Losses From Trade in the Specific-Factors Model
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    When There Are Diminishing Marginal Returns to Factors
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When There Are Diminishing Marginal Returns to Factors

Question 7

Question 7

Multiple Choice

When there are diminishing marginal returns to factors
Of production, the PPF is:


A) a negatively sloped straight line.
B) bowed out from the origin.
C) caved in toward the origin.
D) a positively sloped straight line.

Correct Answer:

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