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The table above shows the production possibilities for an economy. Drawing a PPF with books on the vertical axis and bread on the horizontal axis, a movement from combination 100 bread, 900 books to combination 200 bread, 700 books shows the opportunity cost of ____ as you move down along the PPF.
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In addition, the report analyzes prices received by farmers and average yields to calculate producer returns in these countries. Effects of Recent Energy Price Reductions on U.S. Agriculture, examines the impacts of the fall in energy prices on markets for agricultural products such as corn, soybean oil, and other biofuel feedstocks.
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Suppose that the demand for olive oil is highly inelastic. Also suppose that the supply of olive oil is fixed for the year. If the demand for olive oil suddenly increases because of a shortage of corn oil, you would expect a _____ in the price of olive oil. a. large increase b. small increase c. large decrease d. small decrease e. no change
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