A point outside a PPC shows the problem of scarcity. A point outside the Production Possibility Curve shows a combination that cannot be attained because sufficient quantity of resources are not available to produce them.
below or to the left of the production possibilities frontier
below or to the left of the production possibilities frontier
This represents a production point that could be achieved if there were suffecient resources available.
A point that lies outside a country's production possibilities curve means that the country is not able to produce. The possibility curve shows how a country can efficiently produce.
The production possibilities frontier is a curve illustrating the various ratios of goods that can be produced by a nation when that nations economy is at maximum productivity, using all resources (including labor). To be at maximum productivity there must be full employment. When there is not full employment (unemployment) the country cannot be on it's PPF, let alone beyond it. The nations economy is represented by a point within, or under, the curve.
below or to the left of the production possibilities frontier
Attainable.
below or to the left of the production possibilities frontier
below or to the left of the production possibilities frontier
below or to the left of the production possibilities frontier
This represents a production point that could be achieved if there were suffecient resources available.
A point that lies outside a country's production possibilities curve means that the country is not able to produce. The possibility curve shows how a country can efficiently produce.
The production possibilities frontier is a curve illustrating the various ratios of goods that can be produced by a nation when that nations economy is at maximum productivity, using all resources (including labor). To be at maximum productivity there must be full employment. When there is not full employment (unemployment) the country cannot be on it's PPF, let alone beyond it. The nations economy is represented by a point within, or under, the curve.
A point outside the production possibilities curve represents a combination of goods that is unattainable with the current resources and technology available. It indicates a level of production that exceeds the economy's capacity. In practical terms, achieving such a point would require improvements in efficiency, advances in technology, or an increase in resource availability.
A point of underutilization would appear inside the production possibilities frontier (PPF). This indicates that the economy is not using all its resources efficiently, resulting in fewer outputs than the maximum potential. Such a point suggests that resources, such as labor or capital, are either idle or not being fully employed in the production process.
Points outside the frontier are unattainable because they represent combinations of resources or outputs that exceed the current capacity or efficiency of an economy or production system. The frontier itself, often depicted as a production possibilities frontier (PPF), illustrates the maximum feasible output combinations given existing resources and technology. Any point beyond this boundary indicates a level of production that cannot be achieved without improvements in resources, technology, or efficiency. In essence, these unattainable points highlight the limits of current capabilities.
A point of underutilization on a production possibilities graph appears inside the production possibilities frontier (PPF). This indicates that the economy is not using all of its available resources efficiently, resulting in lower output than the maximum potential. Such points suggest that improvements can be made to increase production without sacrificing other goods.