Question

Conclusion of production possibility curve

Answer 1

Production possibility curve explains the limits that the economy of a country has.

The conclusion that we can draw from the production possibility curve is in order to achieve effeciency, produced goods and services must be regulated and managed properly.

If the false allocation of resources takes place, it can lead to shrinkage of the economy.

Lack of resources and inefficiency of proper implementation of technology in production can lead to a decline of the economy.