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Business, 04.07.2020 03:01 heavendl13

Suppose that workers in a country can produce either cars or food, and that all inputs are equally well-suited to the production of both goods, so that opportunity costs are constant. The production possibilities frontier will be . In the real world, it is unlikely that all resources will be perfectly substitutable in making these goods. Thus the production possibilities frontier will be ___. This means that every time the country decides to shift production from cheese to cars, the opportunity cost of the additional car will be ___ than the last.

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