What does a point below production possibility curve indicate?
Dear Student,
A point below PPC like F, depicts inefficiency or underutilisation of available resources . In other words, we can say that points that lie below the PPC such as point F are associated with underemployment of resources and inefficient utilisation of the available technology.
Regards
A point below PPC like F, depicts inefficiency or underutilisation of available resources . In other words, we can say that points that lie below the PPC such as point F are associated with underemployment of resources and inefficient utilisation of the available technology.
Regards