Explain the main assumption behind a concave production possibilities frontier.

Q: Please graph two hypothetical production possibilities models. In one of the graphs, please…

A: Meaning of Production Possibility Frontier: The term production possibility frontier refers to the…

Q: With reference to the production possibility frontier: a) Draw a production possibility frontier,…

A: The curve for production possibilities shows various pairings of two commodities that can be…

Q: discuss how the production possibility frontier model can be used to illustrate the basic economic…

A: Both businesses and macroeconomic factors make use of the principle of the production possibilities…

Q: Discuss the impact of each of the following on the production possibilities frontier and illustrate…

A: a)  Unemployment refers to when all the available resources in the economy are not utilized…

Q: Butter The production possibilities frontier has a bowed-out shape because the opportunity cost of…

A: According to the definition of PPF,  Point lies above PPF curve- Impossiible to achievePoint lies on…

Q: What is the difference between the Budget Constraint and Production Possibilities Frontier? How do…

A: Overview Let's take a closer look at the frontier of manufacturing possibilities and the curve's…

Q: how does technology affect the production possibility frontier/curve?

A: Production possibility frontier/curve (PPC) is a curve representing combinations of goods that an…

Q: Q16. In a competitive market, all of the choices along the production possibility frontier display_…

A: Productive and allocative are two types of economic efficiency.

Q: Give one example of external economics of scale?

A: According to the given question Simply we can state that the external economy are those economies…

Q: Consider a production possibilities curve. The origin and two points A and B may be connected by one…

A: Scarcity is an economic concept that relates to the reality that there is a finite number of human…

Q: What is a production possibilities frontier?  How can we show efficiency on a productions…

A: PPF is the representation of the total output capacity of an economy given all the resources which…

Q: What do I have to do here?

A: The production possibilities frontier shows different combinations of two goods that can be produced…

Q: QUESTION 2 Consider the Production possibility frontier model. Efficiency means that the economy…

A:

Q: Which of the following would cause an outward shift of the production possibilities frontier?

A: The production possibility frontier represents the different combinations of two goods that can be…

Q: Explain the main assumption behind a concave production possibilities frontier

A: The Production Possibility Frontier (PPF) is concave due to the increasing opportunity cost due to…

Q: If the production possibilities frontier can be expressed as 4X2+y2=16, then the point X=√3; Y+2 is…

A: Given,   PPF: 4X2+ Y2 = 16  X = √3, Y = 2

Q: Production possibilities frontier illustrates both production efficiency and opportunity cost.…

A: Production Possibility Frontier (PPF) also know as production possibility curve (PPC) helps us in…

Q: The individual production points on each person's production possibilities frontier represent their…

A: Production possibility curve is used to represent the maximum amount of output that an individual…

Q: How does the shape of production possibility frontier graph affect the opportunity cost?

A: As the wants and desires of the individuals in the economy are unlimited but the resources available…

Q: Under what conditions is the production possibilities frontier linear rather than bowed out?

A: Production possibility frontier shows the combinations of two goods that can be produced with the…

Q: production possibilities frontier

A: Production possibilities frontier- it is the different variations of 2 goods that can be produced…

Q: Explain the concept of Pareto efficiency and discuss how it can be achieved through trade.

A: Pareto"s efficiency is defined as the economic situation when the circumstances of one individual…

Q: Production at a point inside the production possibilities frontier is unattainable and inefficient…

A: A production possibilities curve shows the various combinations of two goods that an economy can…

Q: Scarcity is represented on the production possibilities frontier by   the amount of the good on the…

A: Scarcity is represented on a production possibility frontier graph by the fact that there are…

Q: Why is a production possibility curve concave explain?

A: According to the given question A production possibility curve indicates a downward sloping curve…

Q: Which of the following is not illustrated by a production possibility frontier (PPF)? Select one:…

A: Scarcity is a situation where enough resources are not present to fulfill the increasing demand of…

Q: How does the production possibility frontier demonstrates the basic economic problem of scarcity.

A: The economic problem of scarcity stems from the fact that our needs and wants are unlimited,…

Q: On a certain small island, there are only 100 units of labour (L) and 200 units of capital (K)…

A: To produce two goods A and B , endowments of inputs are  L=100 and K=200.

Q: Cape Town and Durban were first developed in the 17th and 18th centuries as trading posts on the…

A: Given: The example of Cape Town and Durban will be explained below:

Q: If the production possibilities frontier curve is linear and downward-sloping instead of bowed out,…

A: The production possibility frontier (PPF) is a diagramatical illustration of an economic model that…

Q: Suppose a bakery has 14   employees to be designated as bread bakers​ (B) and cake bakers​ (C), so…

A: Production possibilities function is the locus of points of values of goods x and y that is the…

Q: The ________ production points on a production possibilities frontier are the points on and inside…

A: Production possibility frontier (PPF) refers to the curve that shows the combination of goods which…

Q: What is the Production–possibility frontier curve? Explain it in reference of before Specialization…

A: In economics, different mathematical, statistical, and other tools are used to express the…

Q: supply

A: The generated demand by the consumers with given prices at a given duration depicts demand. The…

Q: Production possibilities frontier illustrates both production efficiency and opportunity…

A: A Production Possibility Frontier or PPF refers to choices that society makes by combination of…

Q: 31. PPC is also called: (a) Opportunity cost curve (b) Transformation curve (c) Production…

A: Production possibility curve is the locus of combinations of goods which the economy can produce…

Q: Production inefficiency occurs when production ____. is at any attainable point is at a point on…

A: Economics is a branch of social science that describes and analyzes the behaviors and decisions…

Q: Assumptions are initial conditions made before production possibilities frontier (PPF) is built.…

A: The production-possibility frontier is a graph showing different variations of the quantities of two…

Q: ncy takes place at every point along the production possibilities frontier.

A: The production possibility model shows the trade-offs associated with allocating resources between…

Q: An inefficient use of resources may be illustrated with a production possibility curve as

A: A PPC or production possibility frontier is a graph concave to the origin that shows the combination…

Q: Suggest assumptions of the Production Possibility Frontier

A: The production possibility frontier implies a concave curve that shows the combinations of two goods…

Q: Using an appropriate diagram, explain how the production possibility frontier becomes a model of…

A: Production Possibility Curve (PPC) or Production Possibility Frontier may be defined as a curve…

Q: Good X True or false: The production possibilities frontiers above could represent a scenario where…

A: A production possibility frontier depicts all of the possible combination of two goods which could…

Welfare Analysis

Welfare analysis of the society is related to welfare economics. From the economic point of view former welfare economics refers to that subject which uses the techniques of microeconomics to analyse and evaluate the welfare at the economic or aggregate level.