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| Topic: |
Business
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| Number of pages / Number of words: |
5 / 1139 |
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A move from point A to point B indicates an increase in the number of computers produced. But it also implies a decrease in the amount of Food produced. This decrease is the opportunity cost of producing more computers.
As mentioned, the two main determinants of the curve are production functions (reflecting the available technology) and available factor endowments...
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But it also implies a decrease in the amount of Food produced. This decrease is the opportunity cost of producing more computers.
As mentioned, the two main determinants of the curve are production functions (reflecting the available technology) and available factor endowments. If the technology improves or the supplies of factors of production increase, the production possibility frontier shifts to the right (upward), raising the amount of each good that can be produced...
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