Capital **
Assume that the country is currently producing at output C.
a) Assume capital production increases by 60% . Fill in the new production possibility for capital.
b) If, after the change, Harmony wishes to continue to produce the same amount of consumer goods, how many
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capital goods can it now produce? __________
c) What was the opportunity cost of moving to output D before the change in the production of capital goods?
Give up ______ to get _______
d) ) What is the opportunity cost of moving to output D after the change in the production of capital goods?
Give up ______ to get _______
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