B) indicates unemployment. A. the presence of technological change. 34) All points inside the production possibilities curve indicate. 35) A production point that lies outside the Production Possibilities Curve (PPC) A) denotes inefficiency. If a point falls inside the production possibility curve it means either the resources are under utilised or there is unemployment in the economy. Production possibility curve shows the different combinations of the production of two commodities that can be achieved in an economy given the resources and technology which are to be fully utilized. The PPF simply shows the trade-offs in production volume between two choices. Any point inside the production possibilities curve indicates:? A) a lack of sufficient supply. b. illustrates resources being used to their fullest potential. d. represents an increase in resources. The following diagram (21.2) illustrates the production possibilities set out in the above table. The slope of the production possibilities frontier represents the magnitude of this tradeoff. Production points inside the curve show an economy is not producing at its comparative advantage. C) the law of increasing relative cost. In this diagram AF is the production possibility curve, also called or the production possibility frontier, which shows the various combinations of the two goods which … B. that resources are imperfectly substitutable among alternative uses. 85. A point beneath the curve indicates inefficiency, and a point beyond the curve indicates impossibility. Points within the curve show when a country’s resources are not being fully utilised A production possibility frontier is used to illustrate the concepts of opportunity cost, trade-offs and also show the effects of economic growth. D) the law of decreasing relative cost. B) inefficiency in production. all points on the production possibilities curve: zCirurgia Realizada (Pós-OP) / all points on the production possibilities curve: 1 de janeiro de 2021 All choices along the curve shows production efficiency of both goods. c. requires more resources than are presently available. Since the production possibilities frontier represents all of the points where all resources are being used efficiently, it must be the case that this economy has to produce fewer guns if it wants to produce more butter, and vice versa. A point lying inside the production possibilities curve a. indicates that resources are not being fully or efficiently used. Production Possibilities. https://www.khanacademy.org/.../v/production-possibilities-curve The production possibilities curve is also called the PPF or the production possibilities frontier. Opportunity cost, trade-offs and also show the effects of economic growth any point inside the curve impossibility! 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