1.

Why is Production Possibility Curve Concave towards origin ? Explain.?

Answer»

Production Possibility Curve is Concave to the origin which signifies that if we want to increase production of one goods (goods-X) then we have to sacrifice production of second goods (goods-Y) and the sacrifice of Y goods for every additional x-goods will continuously increase. Due to this reason, the production possibility curve become concave to the origin.



Discussion

No Comment Found

Related InterviewSolutions