![production possibilities frontier production possibilities frontier](https://www.catholicjournal.us/wp-content/uploads/1-Production-Possibility-Frontier-PPF-when-on-the-line-the-economy-is-running-efficienty-hitting-on-all-cylinders-if-inside-there-is-inefficiency-unemployment-etc.jpg)
The line itself shows all of the most efficient options for production given limited resources. Production Possibilities Frontier Suppose there are only two goods. Three short videos explain the production possibilities frontier, the outer limit of economic production, and how it affects the production of certain goods. The PPF is important in economics because it covers a lot of basics.
#Production possibilities frontier full
The graph also can show whether a society is using its full productive capacity. If the technology increases, or if the flower shop gets more flowers, that could shift the PPF to the right, increasing the output possibilities. A production possibilities curve (also called a production possibilities frontier) illustrates the possible combination of goods an economy can produce, subject to resource constraints. Beyond the PPF, to the right and above, are production possibilities that aren’t possible right now.not enough inputs. Any production possibilities below the curve just aren’t efficient either there are flowers left unused, workers screwing around, or both. It shows all of the best options the flower shop has, assuming the flower shop wants to maximize profits. Maybe it will produce 15 wreaths and 2 bouquets.
![production possibilities frontier production possibilities frontier](https://image3.slideserve.com/6907848/ppc-curve-l.jpg)
Maybe the shop will produce 10 wreaths and 20 bouquets. All points on the plane represent different production possibilities. Bouquets are on the y-axis, and wreaths are on the x-axis.
![production possibilities frontier production possibilities frontier](http://s3-eu-west-1.amazonaws.com/tutor2u-media/subjects/economics/ppf_basics.png)
Say there’s a flower shop that sells two kinds of flower products: bouquets (for Valentine’s Day, Mother’s Day, etc.) and wreaths (for funerals). Also known as the production possibilities curve (PPC), the production possibilities frontier (PPF) is an economic graph showing the different possible combinations for producing two goods as efficiently as possible, given the available inputs.