A production possibilities frontier will be bowed outward if some of the economy's resources are better suited to producing one good than another.

Question

Quizplus · Accepted Answer

The production possibilities frontier (PPF) is bowed outward because resources are not perfectly adaptable to the production of both goods. When some resources are better suited for producing one good over another, it leads to increasing opportunity costs as production shifts from one good to another, resulting in a concave (bowed outward) shape of the PPF.

A Production Possibilities Frontier Will Be Bowed Outward If Some