Question 1 Report
A production possibility curve shows?
how much of the resources of society are used to produce a particular commodity
the rate of inflation
the rate of unemployment in the economy
the various combinations of two commodities that can be produced
Answer Details
The production possibility frontier (PPF) is a curve depicting all maximum output possibilities for two goods, given a set of inputs consisting of resources and other factors. The PPF assumes that all inputs are used efficiently.