QUESTION IMAGE
Question
drag each description to the correct location on the chart
determine which direction a nations ppc will shift as a result of these major events.
several multinational companies
close their factories in the nation
because of its changing economic
climate.
a mass e - learning initiative makeseducation cheaper and accessible
across the nation.
government money is illegally
taken by increasingly corrupt
bureaucrats and politicians.
new economic policies facilitate
the signing of new international
trade agreements.
ppc shifts left
ppc shifts right
- "Several multinational companies close their factories in the nation because of its changing economic climate": This reduces productive capacity (factories are a resource for production), so PPC shifts left.
- "Government money is illegally taken by increasingly corrupt bureaucrats and politicians": Government money can be used for infrastructure, education etc. (factors that enhance production). Its illegal taking reduces potential for production growth, so PPC shifts left.
- "A mass e - learning initiative makes education cheaper and accessible across the nation": Education improves human capital. Better - educated workforce is more productive, so PPC shifts right.
- "New economic policies facilitate the signing of new international trade agreements": International trade can lead to specialization (using comparative advantage) and access to more resources/technologies, increasing productive capacity, so PPC shifts right.
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- PPC Shifts Left:
- Several multinational companies close their factories in the nation because of its changing economic climate.
- Government money is illegally taken by increasingly corrupt bureaucrats and politicians.
- PPC Shifts Right:
- A mass e - learning initiative makes education cheaper and accessible across the nation.
- New economic policies facilitate the signing of new international trade agreements.