Attempts |:|:|:| Keep the Highest / 1 16. Trade-Offs The first principle of economics discussed in Chapter 1 is that people face trade-offs. The following production possibilities frontier illustrates so: trade-offs between spending money on two \"goods": agricultural output and industrial output. Show what happens to the production possibilities frontier (PPF) if an epidemic reduces the population of the society. \\ PPF Quantity of Agricultural Output PPF Quantity of Industrial Output