Production Possibilities Curve 24-33

Please take the time to review these pages over the weekend. There are certain concepts you should understand: Full employment, productive vs. allocative efficiency, law of increasing opportunity cost, shifts in the PPC.
Remember:

• Changes in what to produce results in movement along the curve
• Changes in technology and  quality and quantity of resources results in a shift

Page 27 deals with the Law of Increasing Opportunity Cost and the rationale for it. Please read it tonight.