Production possibility frontier (PPF) graph

Change how resources are split between two goods, how many are used and economic growth, and read the opportunity cost.

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Questions students ask

Why is the PPF curved?

Resources are not equally suited to making both goods, so the opportunity cost of making more of one rises.

What does a point inside the PPF mean?

Some resources are unemployed or used inefficiently: more of both goods could be produced.

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