The production possibilities frontier (ppf), Microeconomics

The Production Possibilities Frontier (PPF)

The PPF curve exhibits the probable combinations of goods and services accessible to an economy, given that all productive resources are completely and  efficiently employed. When the economy is at point i, resources are not completely  employed and/or they are not used effectively. Point g is desirable as it gives more of both the goods, but not achievable by given the amount of resources available. Point d is one of the like combinations of goods manufactured when resources are completely and efficiently employed.

Scarcity and the PPF

To enhance the quantity of farm goods by 10 tons, we should sacrifice 100 tons of factory goods. The PPF curve is bowed out as resources are not fully adaptable to the manufacturing of the two goods. As we raise the production of one good, we sacrifice subsequently more of the other.

Posted Date: 7/24/2012 7:08:11 AM | Location : United States







Related Discussions:- The production possibilities frontier (ppf), Assignment Help, Ask Question on The production possibilities frontier (ppf), Get Answer, Expert's Help, The production possibilities frontier (ppf) Discussions

Write discussion on The production possibilities frontier (ppf)
Your posts are moderated
Related Questions
i want an application on indifference curve of a specific firm? can i get it easily?

Dependence on agricultural production: Dependence on agricultural production and primary product for exports. The external sector comprises Imports and Exports, Ghana shows de

Should the bank not have anyone to lend the demand deposit to (like that will ever happen) would the size of the money multiplier decrease? If so, why?

Find the market-clearing price and quantity of burritos.

Using a graph of the compensated and uncompensated demand curves, show how the magnitudes of the CV, EV, and  ?CS will be related to each other when there is a ceteris paribus incr

I have some Microeconomics problem need to be solve, three Long question and 10 multiple-choice. If I give you four hours can you finish.

Q. Explain about Capacity Utilization? Capacity Utilization: A company or economy's capacity represents maximum amount of output it can produce. Rate of capacity utilization, h

Estimating Labour Productivity by Economic Sector for Target Year and its Change between Base and Target Year Contribution of each sector to GDP is known. The contribution of

(a) What  are the problems associated with R 2 and how can adjusted R 2 solve them? (b) If the regressors  in an equation are highly correlated, which measures can be used to

Facilitating Restructurings- rationale in era of globalisation: There has been some progress in the last few years in efforts to improve the framework for sovereign restructur