Suppose that an economy can produce various combinations of fish and bread. If more people with strong fishing skills became employed in this economy, how would the production possibilities curve (PPC) change?

Question

Quizplus · Accepted Answer

If more people with strong fishing skills become employed, the economy's ability to produce fish would increase, but its ability to produce bread would remain the same. Therefore, the PPC would shift outward on the fish axis, but would not change on the bread axis.

Suppose That an Economy Can Produce Various Combinations of Fish