As you move down the production possibility frontier, the absolute value of the marginal rate of transformation

A. increases.
B. initially decreases, then increases.
C. decreases.
D. initially increases, then decreases.

Answer: A

Economics

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Using economic theory to analyze policy issues

A. is a way to avoid inconvenient facts. B. allows researchers to disprove a hypothesis. C. relies on simplifications to conduct studies. D. always includes the inclusion of political ideals.

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