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In the Short-Run (Specific-Factors) Model, an FDI Inflow into a Country's

Question 93

Multiple Choice

In the short-run (specific-factors) model, an FDI inflow into a country's manufacturing sector will cause its production possibility frontier:


A) to shift outward for both sectors.
B) to shift inward.
C) to shift outward for manufacturing only.
D) to stay the same.

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