standards ef2 and ef3
A production possibilty curve is a graph that shows different rates of production of two
goods or services that a economy can produce efficiently during a specified period of time with a limited quantity of production of production resources or factors of production.
Two things that can cause your chart to shift outward is an increase in technology, and also an increse in production.
The best way to determain weather we are making rational decisionsis to create a rational decision making modal.
Many companies choose to specialize in production because countries choose to generate more income and can increase the standards of living for its people.
if a country choose not to specialize they will not produce efficiently
I feel good about my knowledge on this standard....... what if a country only choose to specialize in one product?
Krishna,
ReplyDeleteThe information on specialization is adequate. but you need to correct the information on the PPC and rational decisions in order to receive a grade for this post. As for your question: The PPC can ONLY show the maximum production capability of 2 products using current resources. I know you work after school but you need to make time to attend tutorial by 9/1/2010. Thank you.
i change and corrected my statement and answers
ReplyDeleteThank you for correcting this posting Krishna!
ReplyDelete