Production
Possibrlities curve
(PPC)
100
80
60
4O
20
E
20 10 60
80
Capital Goods (millions Per year)
b- Meaning of a Point on the PPC
- A point onthe PPC (A-F) = Productive efficiency: all avarlable resoarces and technology ore fully used; to produce more of one god you must give up some of the other.
- A PomE inside the PPC = Trefficiency / unemPloyment (some resources idle).
- A Point Outside the PPC= currently unattaî-nable with exiting resources/ technology (Passible in the
future with