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10 points i? a] List the FOUR [4) assumptions of production possibilities curve. (4 marks) 3) The table below shows an economy producing two goods:
10 points i? a] List the FOUR [4) assumptions of production possibilities curve. (4 marks) 3) The table below shows an economy producing two goods: capital and consumer goods with the following production options. Production alter natives Capital goods Consumer goods A 0 60 B 10 50 C 20 30 D 30 O i) Graph the production possibilities curve for the economy above. {4 marks) ii) Suppose there is a production alternative of producing 25 capital goods and 40 consumer goods. ls the economy able to produce at such quantity? Why? {2 marks)
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