Figure 2-2 Figure 2-2 above shows the production possibilities frontier for Vidalia,a nation that produces two goods,roses and orchids.
-Refer to Figure 2-2.If Vidalia chooses to produce 60 dozen orchids,how many roses can it produce to maximize production?

Question

Figure 2-2  Figure 2-2 above shows the production possibilities frontier for Vidalia,a nation that produces two goods,roses and orchids.
-Refer to Figure 2-2.If Vidalia chooses to produce 60 dozen orchids,how many roses can it produce to maximize production?

Quizplus · Accepted Answer

According to the production possibilities frontier, if Vidalia produces 60 dozen orchids, it can produce 50 dozen roses to maximize production. This is the point on the curve where both goods are being produced at the highest efficiency. Any other point on the curve would result in producing less of one good while producing more of the other, resulting in a less efficient use of resources.

Figure 2-2 Figure 2-2 Above Shows the Production Possibilities