Question

A production possibilities​ frontier: A. shows how unlimited wants exceed the limited resources available to fulfill those wants. B. shows the market for a good or service. C. shows the maximum attainable combinations of two goods that may be produced with available resources. D. shows the act of buying and selling. E. shows how participants in the market are linked.

Answer 1

Answer:

The correct answer is C. Shows the maximum attainable combinations of two goods that may be produced with available resources.

Explanation:

The Production Possibilitiy Frontier (PPF) shows the most optimal usage of a a limited amount of resources to produce two separate goods and obtain the maximum production output possible. This theory is applicable only to the production of 2 products and demonstrates the concept of cost of opportunity. Producing more of one of the products means producing less of the other, as the resources are scarce.

Answer 2

Answer:

c

Explanation: