Purchase Solution

Production possibilities frontier

Not what you're looking for?

Ask Custom Question

Construct a production possibilities frontier for a nation facing increasing opportunity costs for producing food and video games.

Explain how this curve represents the most efficient use of this nation's resources. Show how the frontier changes, given the following events:

? A new and better fertilizer is invented.
? There is an increase in the amount of labor, which can be employed in both the agricultural sector and the video game sector.
? A new programming language is invented that is less costly to code and is more memory-efficient, enabling the use of smaller games cartridges.
? A heat wave and drought results in a 10 percent decrease in usable farmland.

Purchase this Solution

Solution Summary

Production possibilities frontier is investigated. The expert explains how this curve represents the most efficient use of this nation's resources.

Solution Preview

Please refer to the attachment.

Construct a production possibilities curve for a nation facing increasing opportunity
costs for producing food and video games. Show how the PPC changes ...

Purchase this Solution


Free BrainMass Quizzes
Economics, Basic Concepts, Demand-Supply-Equilibrium

The quiz tests the basic concepts of demand, supply, and equilibrium in a free market.

Pricing Strategies

Discussion about various pricing techniques of profit-seeking firms.

Elementary Microeconomics

This quiz reviews the basic concept of supply and demand analysis.

Economic Issues and Concepts

This quiz provides a review of the basic microeconomic concepts. Students can test their understanding of major economic issues.

Basics of Economics

Quiz will help you to review some basics of microeconomics and macroeconomics which are often not understood.