Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Micro Economics: Introduction

Question:

Identify the concept which refers to the combination of two goods that can be produced with the help of given resources and technology.

Options:

Indifference curve

Budget line

Marginal utility

Production Possibility Curve

Correct Answer:

Production Possibility Curve

Explanation:

The answer is Production Possibility Curve (PPC).

The Production Possibility Curve (PPC) illustrates the various combinations of two goods that an economy can produce, given its level of technology and available resources. It shows the trade-offs between the production of different goods and helps analyze the opportunity costs of choosing one combination over another.