On the vertical axis, the production possibilities frontier shows___________ ; on the horizontal axis, the production possibilities frontier shows__________ .
A) the quantity of a good; the price of the good
B) the quantity of a good; a weighted average of resources used to produce the good
C) the quantity of one good; the quantity of another good
D) the quantity of a good; the number of workers employed to produce the good

Question

Quizplus · Accepted Answer

The vertical axis of the production possibilities frontier shows the quantity of one good, and the horizontal axis shows the quantity of another good. This reflects the tradeoff between producing one good and another, as resources are limited and must be allocated between different goods.

On the Vertical Axis, the Production Possibilities Frontier Shows___________ ;