Chapter-Introduction Micro Economics class 11 in english Medium CBSE Notes

Production Possibility Curve:

• A production possibility curve shows the various combinations of two commodities that can be produced using the given resouces and technology.
• It was deviced by prof. plaul A. Samuelson.

Features of Production Possibility Curve -

(a) Slopes downward :  PPC Slopes downward from left to right because It assumes resources are limited so that to increase the production of one good, some units of other good has to be sacrificed.

(b) Concave to the origin : PPC Concave to the origin because of increasing Marginal Opportunity Cost (MOC) or Marginal Rate of Transformation (MRT). MRT is increasing because all resources are not equally efficient in the production of both goods.

Class 11, all subjects CBSE Notes in english medium, cbse class 11 Micro Economics notes, class 11 Micro Economics notes english medium, cbse 11 Micro Economics cbse notes, class 11 Micro Economics revision notes, cbse class 11 Micro Economics study material, ncert class 11 science notes pdf, class 11 science exam preparation, cbse class 11 physics chemistry biology notes