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grandymaker [24]
2 years ago
12

Why is a production possibilities frontier typically drawn as a curve, rather than a straight line?.

Business
1 answer:
Vinvika [58]2 years ago
3 0

This is due to the following reasons:

The curved shape is a representation of the law of diminishing returns. According to this law, there comes a time when an additional production element has less of an impact. Adding more resources to the production process, for example, may result in quite big profits at first.

<h3>What does the production possibility frontier represent?</h3>
  • The Production Possibilities Frontier (PPF) is a graph that depicts all of the possible output combinations of two items that can be produced utilizing available resources and technology. The PPF expresses the ideas of scarcity, choice, and tradeoffs.
  • A production possibilities curve depicts the possible combinations of two items that an economy can produce. Scarcity is implied by the decreasing slope of the production possibilities curve. The production possibilities curve's bowed-out shape derives from resource allocation based on comparative advantage.

Learn more about Production Possibilities Frontier here:

brainly.com/question/26460726

#SPJ4

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Answer:

Variable cost Per Unit $2.50

Explanation:

Total cost at high activity = $8100

Total Cost at Low activity = $3600

Total Units at high activity = 2400

Total Units at low Activity = 600

Variable Cost Per Unit =  (High activity total Cost - Low activity total cost ) / (High Activity unit - low activity units)

Variable cost per unit = ($8100 - $3600) / (2400 - 600) = $4500 / 1800 = $2.50

7 0
4 years ago
During her womanhood ceremony, Dasheena Cochise spends 4 days being tested and ultimately being renamed and remade as a member o
lara [203]

Answer:

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Explanation:

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6 0
3 years ago
____________ is a management application that takes a deterministic approach in evaluating decisions regarding current and futur
a_sh-v [17]

Answer:

Menu engineering

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If the Federal reserve want to increase the money supply what they would do would be to reduce or lower the discount or the interest rate in the economy.

When the interest rate is lowered, it would discourage savings. There would be an increase in the consumption of goods and services in the economy.

Also lowering the discount rate is going to cause the banks to want to borrow more reserves from the Fed. It would then be able to create more loans.

This would lead to a raise in the money supply.

Read more on brainly.com/question/2238267?referrer=searchResults

6 0
3 years ago
Limited partners in a company
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C serve only as investors, as general partners take on all the risk and operation of the company, while limited partners invest their money, but don’t take part in the decisions of the company.

Hope this helps!
5 0
4 years ago
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