Under what conditions is it possible to increase production of one good without decreasing production of another good?

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24-08-2022
Social Studies

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Under what conditions is it possible to increase production of one good without decreasing production of another good?

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kuruppu kuruppu · Answer 1 · 2022-08-30T01:18:18-04:00

If an economy is running inside its PPF, it may increase the production of one thing without reducing the output of another (Production Possibilities Frontier).

What is a PPF?

The graph known as the Production Possibilities Frontier (PPF) illustrates all the possible output combinations of two items that may be created with the resources and technologies currently in use.
In macroeconomics, the PPF illustrates the stage at which a nation's economy is most productive, providing products and services for consumers while efficiently allocating resources.
It chooses the optimal product combinations while taking manufacturing considerations into account.
Consider a scenario in which a country produces 120,000 apples and 20,000 oranges.
That is point B on the diagram. It must produce fewer apples if it wishes to grow more oranges. According to the graph, Point C can only generate 85,000 apples if it produces 45,000 oranges.

To learn more about the Production Possibilities Frontier, refer to the following link:

https://brainly.com/question/8583830

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