Created:
2005-Aug-31
by Jim Luke.
Micro
Economics
Part I
Unit 2
Slide
21
PPF:
Production Possibilities Frontier
Model of Economic Problem &
Choice
§
Max. Production Quantities
Possible of 2 Goods
§
All Resources Used Efficiently
§
Assumptions
§
Two Goods
§
Fixed Time Period
§
Resources available:
t
Fixed Quantity
t
Fixed Quality
§
Technology
does not change