A PPC is downward sloping and____________ to the origin. Choose the correct option.a)Convexb)Concavec)Inverse U shapedd)U shapedCorrect answer is option 'B'. Can you explain this answer?

Question

Answer

P.P.C. is concave to the origin due to increase in marginal rate of transformation.

Answer

Well PPC is downward sloping bcz more of one good

can be produced only by

Answer

Bcoz resources r use specific. it may be suitable for good X bt not for good Y at a same time..

Answer

Explanation:
A Production Possibility Curve (PPC) shows the various combinations of two goods that an economy can produce given its limited resources and technology. It illustrates the trade-off between producing one good over another.

Downward Sloping PPC:
A downward sloping PPC indicates that as an economy produces more of one good, it must give up some production of the other good. This is because resources are limited, and allocating more resources to the production of one good means fewer resources available for the production of the other good.

Convex:
A convex PPC is one that is curved outward. This means that the trade-off between the two goods is not constant. As an economy shifts resources from one good to another, the opportunity cost increases. In other words, the more an economy produces of one good, the greater the amount of the other good it must sacrifice.

Concave:
A concave PPC is one that is curved inward. This implies that the trade-off between the two goods is decreasing. As an economy shifts resources from one good to another, the opportunity cost decreases. In other words, the more an economy produces of one good, the less of the other good it has to sacrifice.

Inverse U-Shaped:
An inverse U-shaped PPC is one that is initially concave and then becomes convex. This implies that the trade-off between the two goods initially decreases and then increases. As an economy produces more of one good, the opportunity cost decreases up to a certain point and then starts to increase.

U-Shaped:
A U-shaped PPC is one that is initially convex and then becomes concave. This implies that the trade-off between the two goods initially increases and then decreases. As an economy produces more of one good, the opportunity cost increases up to a certain point and then starts to decrease.

Conclusion:
The correct answer is option B, concave. A downward sloping PPC that is concave to the origin indicates that the trade-off between the two goods is decreasing. As the economy produces more of one good, the opportunity cost of producing the other good decreases.

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