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What are the properties of production …

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What are the properties of production possibility curve

Posted by Ashwani Kumar Ankit 7 years, 9 months ago

CBSE > Class 12 > Economics

1 answers

Unknown . 7 years, 9 months ago

Following are the properties of PPC: 1.PPC slopes downward 2.PPC is concave to the point of origin. * PPC slopes downwards because producer cannot increase production of both the goods at the same time .Producer have to sacrifice one good (y)for the gain of other good (x). *PPC is concave to the point of origin because producer sacrifice more & more units of good y for the gain of x due to increase in MRT ppc concave to the point of origin.

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