Question

The extreme point on the vertical axis of a ppf can be identified by figuring out how much of the good measured on that axis can be produced using of the economy's resources. once the extreme point on the vertical axis has been identified, other points on the ppf can be identified by asking how much of that good must be in order to increase production of the good measured on the horizontal axis by some discrete amount.

Answer 1

Answer: 1). All

2). Given Up

Explanation: The extreme point on the vertical axis of a ppf can be identified by figuring out how much of the good measured on that axis can be produced using all of the economy's resources. once the extreme point on the vertical axis has been identified, other points on the ppf can be identified by asking how much of that good must be given up in order to increase production of the good measured on the horizontal axis by some discrete amount. The slope of the PPF gives us the opportunity cost ( units of a good that must be sacrificed to gain additional units of the other good) of producing a good.