The curve that represents all possible combinations of goods that can be produced is called
A) the production possibilities curve.
B) the resource allocation curve.
C) the efficiency curve.
D) the supply curve.

Question

Quizplus · Accepted Answer

The production possibilities curve (PPC) represents all possible combinations of goods and services that can be produced with a given set of resources and technology. It shows the trade-offs that producers face when deciding how much of each good or service to produce. Therefore, option A is the correct choice. Options B, C, and D are incorrect as they do not accurately describe the concept of the PPC.

The Curve That Represents All Possible Combinations of Goods That