Saturday, July 3, 2010

PRODUCTION POSSIBILITY FRONTIER / CURVE


Production possibility frontier (ppf): A graph that shows all the combinations of goods and services
  that can be produced if all of society’s resources are used efficiently.
Unemployment Of Resources: resources not in use/production.
Opportunity Cost: Sacrifices/foregone output
Economic Growth An increase in the total output of an economy. It occurs when a society acquires new
  resources or when it learns to produce more using existing resources.

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