C)are unattainable. SURVEY . A production possibility frontier (PPF) shows the maximum possible output combinations of two goods or services an economy can achieve when all resources are fully and efficiently employed If we increase our output of consumer goods (i.e. D) an infinite opportunity cost. b. unfeasible point. Tags: Question 12 . A point inside a production possibilities curve represents things that can be produced. 6. Rotation of PPC. D)any point on either the horizontal or the vertical axis. Any point of production inside the curve is considered inefficient because the economy is not fully utilizing its resources. Conclusion. Represents the prevalence of unemployment. If a point lies on the curve this means the company is being efficient. A movement from a point in the PPC to a point on the PPC represents a more efficient use of resources. In a recession, unemployed workers are not producing goods and services, so the economy is not producing its long run potential. 7. A point beneath the curve indicates inefficiency, and a point beyond the curve indicates impossibility. By definition all point to the right or outside of the production possibility curve (frontier) are impossible, given the limits of resources and technology. 86. Efficiency. 7. The winding number will be $1$ inside a simple closed curve and zero outside. What things will cause the PPC to shift inward or outward? Start studying AP-Macroeconomics 1.2 Opportunity Cost and Production Possibilities Curve. Rightward shift of PPC. What does point Y represent on the PPC? A Nash equilibrium occurs when: A. Inside and along the ppf means that goods are attainable and outside the ppf menas the goods are unattainable and it thereby shows scarcity. B. attainable, but the economy is inefficient. This shows inefficiency because a firm is not using all of its resources. The economy can produce at any point inside the PPC, but doing so means that the economy is inefficient. Question 13 . Production Possibility Curve (PPC) is the locus (the path of a moving point) of various combinations of two commodities which can be produced with given level of … ... you have to note that you cannot operate at a point beyond the PPC curve. What does it mean if a nation is producing at a point inside the PPC? If a point lies on the curve this means the company is being efficient. O C. resources are not being fully ubilized due to unemployment or inefficiency D. one good has no opportunity cost relative to anothe Click to select your answer 3 4 lab . Learn vocabulary, terms, and more with flashcards, games, and other study tools. answer choices . One or more resources (Land, labor, or capital) is being waisted or not used to its potential. d. maximum output combination. Or the marginal cost of an extra berry is 1/20 of a rabbit. Unattainable / impossible. 30 seconds . If a point lies inside the curve, this tells the company what? Qn 3. b. nonfeasible point. A point inside the production possibilities curve is: A. attainable and the economy is efficient. B)result in more rapid growth. answer choices unemployed resources in the country is shown by a point under the PPC … c. inefficient point. E) a tradeoff. d. maximum output combination. b) attainable but not efficient. Production Possibility Curve is a graphical representation of alternative production possibilities facing an economy. D. Is attainable if all resources are used efficiently. If the line crosses the curve an odd number of times the point is inside the curve. The points inside the production possibility curve (ppc) are points that indicate inefficient use of the available resouces.and the production technology. ANS: c. While operating within the boundaries of the production possibilities curve, more of both goods can be attained if efficiency is improved. Concepts covered include efficiency, inefficiency, economic growth and contraction, and recession. In macroeconomics, points inside the curve are used to illustrate a recession. c) unattainable and efficient. B) unemployment of labor but not capital. The possibility curve shows how a country can efficiently produce. The PPC shows the maximum available possibilities which an economy can produce. 16) A movement from a point inside the production possibilities frontier to a point on the production possibilities frontier represents 16) A) full employment of labor but not capital. Q. A point outside the production possibilities curve (PPC): A. Unemployed resources (labor, capital, physical resources) of any kind would result in an inefficient production level, and would be shown as a point to the left, or inside the curve. Any point on the PPC curve. In this video, Sal explains how the production possibilities curve model can be used to illustrate changes in a country's actual and potential level of output. 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