Question

In the accompanying graph construct a production possibilities curve for a nation with the following maximum output combinations. The Production Possibilities Curve Food ideo Games 0 10 10 16 19 1.) Using the point drawing tool, plot the four output combinations from the table above. Properly label each point. 2.) Using the 4-point curved Nne drewing tool, draw a curve connecting these points. Label this curve Carefuly towow the instructions above, and only draw the required abjects The shape of this outward bowed PPC is due to O A. increased production eficiency O B. increasing opportunity costs. C. constant opportunity costs O D. decreasing opportunity costs 6610 12 14 16 18 20 Video Games

Answer 1

By plotting the given points , we get the production possibilities curve (PPC) as shown below:

12 ppも 2o 22 IDEO hAMEs

The shape of this outward bowed PPC is due to increasing opportunity costs. Hence,option(B) is correct.