Understanding the PPC Curve Quiz

<p>Their interdependence in production</p> Signup and view all the answers

<p>It shifts to the right</p> Signup and view all the answers

<p>Discovery of new resources</p> Signup and view all the answers

<p>Scarcity necessitates trade-offs in production</p> Signup and view all the answers

<p>Constant opportunity cost</p> Signup and view all the answers

<p>Reduction in production possibilities</p> Signup and view all the answers

<p>The quantity of one good increases while the other decreases</p> Signup and view all the answers

<p>Inefficient resource allocation</p> Signup and view all the answers

<p>Increasing opportunity cost</p> Signup and view all the answers

<p>The direct trade-off between the two goods</p> Signup and view all the answers

<p>Positive</p> Signup and view all the answers

<p>A decrease in the availability of resources</p> Signup and view all the answers

<p>Increasing opportunity cost</p> Signup and view all the answers

<p>The PPC shifts outward</p> Signup and view all the answers

<p>It indicates inefficiency in production</p> Signup and view all the answers

<p>Underutilization of resources</p> Signup and view all the answers

<p>Economic growth and increased production capacity</p> Signup and view all the answers

<p>The limited availability of resources to produce goods and services</p> Signup and view all the answers

<p>Constant opportunity cost for both goods</p> Signup and view all the answers

<p>To represent the trade-offs between two types of goods that can be produced with limited resources</p> Signup and view all the answers

<p>The opportunity cost is increasing for one good while decreasing for the other</p> Signup and view all the answers

<p>Increasing opportunity cost</p> Signup and view all the answers

<p>Opportunity cost remains constant</p> Signup and view all the answers

<p>Economic decline</p> Signup and view all the answers

<p>Unattainability</p> Signup and view all the answers

<p>Underutilization of resources</p> Signup and view all the answers

<p>Showing trade-offs and opportunity costs</p> Signup and view all the answers

<p>Increase in resources</p> Signup and view all the answers

<p>Shift inward</p> Signup and view all the answers

<p>Opportunity cost increases rapidly</p> Signup and view all the answers

<p>Scarce resources</p> Signup and view all the answers

<p>Their relative scarcity</p> Signup and view all the answers

<p>Decrease in resources</p> Signup and view all the answers