- The production possibility curve for peter to contact his friends via phone call vs weblog gives the combination of two ways to contact his friends with total remains constant.
- The trade-off between two ways " Pareto Optimality ". The maximum number of phone calls to contact his friends occurs when he "forgives" the method of weblog completely.
- This point on PPC is the intercept on the vertical axis ( Phone ). Read off the intercept on the "Phone" axis.
Since when you multiply the numbers through, you see that the values are the same. Because of this, you can tell that you are demonstrating the distributive property.