If the government offers subsidy on mining of coal what would be its impact on the PPC of India - Economics - Introduction

Question

If the government offers subsidy on mining of coal what would be
its impact on the PPC of India??? Shouldnt the PPC remain constant
as there is neither a change in the resource base of the country
nor is there an upgradation of technology

Shvetika Sharma · Accepted Answer

Dear student,
With the subsidy on coal there would be better and fuller
utilisation of coal (resource) Accordingly, the economy would move
to a point closer to PPC

If the government offers subsidy on mining of coal what would be its impact on the PPC of India??? Shouldnt the PPC remain constant as there is neither a change in the resource base of the country nor is there an upgradation of technology