Elucidate Production Possibility curve with the help of a diagram?
Answer: The Production Possibility Curve refers to a curve that shows various production possibilities which can be produced with specified resources and technology.
![920_PPC.jpg](https://secure.tutorsglobe.com/CMSImages/920_PPC.jpg)
When the economy devotes all its resources to the production of commodity B, it can generate 15 units however then the production of commodity A will be zero. There can be much production possibilities of commodity A & B. When we want to generate more commodities B, we have to decrease the output of commodity A and vice-versa.