Reference no: EM1374962

Determine which of the following nations would you expect to have intertemporal production possibilities biased toward current consumption goods, and which biased toward future consumption goods? Why?

a. A country, like Argentina or Canada i the last century, that has only recently been opened for large-scale settlement is receiving large inflows of immigrants.

b. A country, like the United Kingdom in the late nineteenth century or the United States today, that leads the world technologically but is seeing that lead eroded as other countries catch up.

c. A country that has discovered large oil reserves that can be exploited only with massive investment (like Norway, whose oil lies under the North Sea).

d. A country that has discovered large oil reserves that can be exploited with little new investment (like Saudi Arabia).

e. A country like South Korea that has discovered the knack of producing industrial goods and is rapidly gaining on advanced countries.