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Indiadesh is a country that produces two goods, textiles and computers. Last yea

ID: 1240919 • Letter: I

Question

Indiadesh is a country that produces two goods, textiles and computers. Last year, Indiadesh produced 500 textiles and 1300 computers. This year it produced 450 textiles and 1100 computers. Given no further information, which of the following events could explain this change?

1.Indiadesh decreased unemployment.

2.Indiadesh experienced an improvement in textile-making technology.

3.Indiadesh experienced an improvement in computer-making technology.

4.Indiadesh experienced a reduction in resources

Explanation / Answer

4.Indiadesh experienced a reduction in resources