A production possibilities curve is plotted for a nation producing cotton and jute. Which of the following will cause a parallel rightward shift of the production possibilities curve?
A) An invention of a new fertilizer that increases cotton production by ten percent, without any effect on jute production
B) An invention of a new fertilizer that increases jute production by five percent, without any effect on cotton production
C) An invention of a new fertilizer that increases production of both cotton and jute by ten percent
D) A two-times increase in the price of all cotton products and a three-times increase in the price of all jute products
C
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What will be an ideal response?
The Washington Consensus refers to
a. agreements between Republicans and Democrats b. guidelines for limiting government intervention, supported by the World Bank andInternational Monetary Fund c. the agreement as to where to locate the U.S. government d. guidelines for providing U.S. aid to developing-country governments e. guidelines for providing federal aid to state and local governments