Question

Explain why societies cannot make a choice above their production possibilities frontier and should not make a choice below it.

Answer 1

Hi!

This belongs more under 'Business', as it deals with economics.

One would not want to under- or over- produce. Too little, and you have wayyy too much demand, and people would be looting. Too much, and many resources, like fresh fruit, would go to waste and not be bought.

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Answer 2

A choice above the PPF is not possible because the PPF already illustrates the maximum amount of production. Producing at a point inside the PPF is inefficient because more production could be achieved at no additional cost.

I hope this helps if you need me to explain it I will just let me know