A production possibilities frontier (PPF)
A) shows combinations of two goods or services that are attainable with given resources.
B) involves a tradeoff between what is wanted and what is needed.
C) identifies the combination of two goods or services that should be produced.
D) defines a boundary between what is needed and what is not needed.

Question

Quizplus · Accepted Answer

A production possibilities frontier (PPF) shows the different combinations of two goods or services that are attainable with given resources. It shows the maximum production of one good for every possible level of production of another good, given the resources and technology available.

A Production Possibilities Frontier (PPF)