The point x inside the PPC (Production Possibility Curve) indicates that some of the resources in the economy are currently idle or not being fully utilized. This means that the economy is not producing at its maximum potential, and there is room for further growth and development.
The PPC represents the different combinations of goods and services that an economy can produce given its limited resources and technology. The curve shows the maximum output that can be produced with the available resources and technology at a given point in time. Any point inside the curve represents a level of production that is below the maximum potential output, indicating that some resources are not being used to their full capacity.
Therefore, if the economy is currently operating at a point inside the PPC, it has the potential to increase its production of goods and services by putting its idle resources to work. This could be achieved through measures such as increasing investment, improving technology, or providing more education and training to the workforce.
