Identify the curve given below. What does the points A, B, C represent

1.	Identify the curve given below. What does the points A, B, C represents?
Answer» Production Possibility Curve: It shows various combinations of two goods that an economy can produce with a given level of resources and a given level of technology. Point ‘A’shows efficient utilisation of resources. Point ‘B’ We can say that at any point above the existing PPC shows the growth of resources and Point ‘C’ inside the production possibility curve implies insufficient utilisation of resources.

Identify the curve given below. What does the points A, B, C represents?

Answer»

Production Possibility Curve:

It shows various combinations of two goods that an economy can produce with a given level of resources and a given level of technology. Point ‘A’shows efficient utilisation of resources. Point ‘B’ We can say that at any point above the existing PPC shows the growth of resources and Point ‘C’ inside the production possibility curve implies insufficient utilisation of resources.

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Identify the curve given below. What does the points A, B, C represents?

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