Question
5. What happens to the PPF when more resources for production are discovered.


6. Refer to the following table, give the range of the price of errands such that both Lo and Manuel will be willing to trade. Assume the opportunity cost is constant. (Don’t forget the units)

  Errands Run Dishes Washed
Lo   2 50
Manuel   4 40



7. Suggest one government policy such that the PPF of a country can shift out a lot in the future.

8. Consider the following PPF of Kenzi.



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