What is the production possibilities frontier?
A) a map that shows the frontier beyond which technological innovation is unprofitable
B) a map that shows areas of the world in which capitalist production is highest
C) a graph that shows the various combinations of resources that can be used to produce a given level of output
D) a graph that shows the various combinations of output the economy can possibly produce given the available resources and technology

Question

Quizplus · Accepted Answer

The production possibilities frontier is a graph that shows the different combinations of output an economy can produce given its available resources and technology. It represents the trade-offs an economy must make between producing different goods and services.

What Is the Production Possibilities Frontier