Why PPC slopes downward ??
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Answered by
29
Heya...
===== Answer =====
Why PPC Slopes downward ??
Ans -- As we know that it is a curve that show the combination of two goods that are produced at given resources...
So...
• To have more of a good, we have to sacrifice the other one good...
Thus, to less other one for gaining one leads to slope downward of PPC...
Ex ---- Two goods are , wheat & rice
If the producer want to produce more rice then he may sacrifice of wheat first......
Thank you
===== Answer =====
Why PPC Slopes downward ??
Ans -- As we know that it is a curve that show the combination of two goods that are produced at given resources...
So...
• To have more of a good, we have to sacrifice the other one good...
Thus, to less other one for gaining one leads to slope downward of PPC...
Ex ---- Two goods are , wheat & rice
If the producer want to produce more rice then he may sacrifice of wheat first......
Thank you
Answered by
9
Hey mate✌️✌️
ANSWER ⤵️ ⤵️⤵️⤵️⤵️⤵️⤵️⤵️⤵️
PPC(Production Possibility Curve)is a curve shows different possible combination of two goods which can be Produced with available resources.
➡️PPC curve slope downward from left to right because with given resources and constant technology.
EXAMPLE ⏩ Increase in output of one commodity(coffee) is possible only when there is decrease in the output (tea)of other commodity.
Downward slope of PPC implies that higher Production of one commodity must lead to lower Production of other.
✨ Hope this helps you ✨
ANSWER ⤵️ ⤵️⤵️⤵️⤵️⤵️⤵️⤵️⤵️
PPC(Production Possibility Curve)is a curve shows different possible combination of two goods which can be Produced with available resources.
➡️PPC curve slope downward from left to right because with given resources and constant technology.
EXAMPLE ⏩ Increase in output of one commodity(coffee) is possible only when there is decrease in the output (tea)of other commodity.
Downward slope of PPC implies that higher Production of one commodity must lead to lower Production of other.
✨ Hope this helps you ✨
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