Re: Errr

Date: 2005-10-18 05:32 am (UTC)

Um, no actually, the question of displaced production is very important.

Assuming of course that highest possible utilisation of the nation's production possibility frontier. If this is not the case (which it hasn't been for some time, iirc) then the disaster recovery programme will push actual production towards the potential.

Explain why comparative GDP per capita is the appropriate measure in this case. It's not coming to me intuitively.
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