The Bowed- Outward Shape of a PPF

question 77

Multiple Choice

The bowed- outward shape of a PPF

• A) reflects the unequal application of technology in production.
• B) is due to the existence of increasing opportunity cost.
• C) is due to capital accumulation.
• D) illustrates the fact that no opportunity cost is incurred for increasing the production of the good measured on the horizontal axis but it is incurred to increase production of the good measured along the vertical axis.

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Definitions:

Seasonal Variation

Regular fluctuations in data or activity levels that occur at specific periods of the year, often influenced by weather, holidays, and other seasonal factors.

Time Series

Data points collected or recorded at regular time intervals.

Airline Ticket Sales

The total volume or revenue generated through the sale of airline tickets, a critical metric for the airline industry.

Smoothing Constant

A parameter used in exponential smoothing techniques to weight the relevance of historical data points.