Define ppc and it\'s properties

1.	Define ppc and it\'s properties
Answer» Their is one more point in properties of ppc v curve that is:-3. MOC determines the slope of PPC curve it has 3shapes of ppc curve a. Convex to origin which has. Increasing rate b. Straight line which has constant rate c. Concave to origin with diminished rate<br>In business, the Production Possibility Curve (PPC) is applied to evaluate the performance of a manufacturing system when two commodities are manufactured together. The management utilizes this diagram to plan the perfect proportion of goods to produce to reduce the wastage and cost while maximizing profits.The two main characteristics of PPC are:\tSlopes downwards to the right: PPC slopes downwards from left to right. It is because in a situation of fuller utilisation of the given resources, production of both the goods cannot be increased simultaneously. More of commodity A can be produced only with less production of commodity B.\tConcave to the point of origin: It is because to produce each additional unit of commodity A, more and more units of commodity B will have to be sacrificed. Opportunity cost of producing every additional unit of commodity A tends to increase in terms of the loss of production of commodity B. Production will act upon the law of increasing marginal opportunity cost.

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