Question

The shape of Germany's production possibilities frontier (PPF) should reflect the fact that as Germany produces more trucks and fewer smartphones, the opportunity cost of producing each additional truck_____________.

Answer 1

Answer:

Remain constant and is directly proportional to demand which gives a straight line graph.

Explanation:

The Production Possibilities Frontier (PPF) is a graph that shows all the different combinations of output of two goods that can be produced using available resources and technology. The PPF captures the concepts of scarcity, choice, and tradeoffs.

For PPF to capture choice it hows the people of germany purchase more trucks than smart phones.For that reason the truck market have a certain stability in its demand and supply.