Disequilibrium, comparative advantage gains, and gains from trade are key concepts related to the shifting inwards of production possibility curve intercepts.
Disequilibrium represents the shifting inwards of one of the production possibility curves intercepts. It indicates a situation where the economy is not efficiently allocating its resources, leading to an imbalance in production.
In contrast, gains from trade and comparative advantage gains occur when resources are allocated based on comparative advantage, allowing for increased production efficiency and benefiting from trade with other entities.
Therefore, the shifting inwards of the curve intercepts signifies disequilibrium in production, highlighting the importance of efficient allocation of resources in an economy.
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