Consider a society that must choose between making computers

Consider a society that must choose between making computers and appliances. The quantity of computers produced is graphed on the vertical axis on the PPF. Which point would illustrate the quantity of appliances that could be produced if society put all of its resources into appliances production? O The origir O The vertical intercept O The point in the middle of the curve O The horizontal intercept Next Question>

Solution

Economy is producing two goods - Computers and Appliances.

The quantity of computers produced is taken on the vertical axis on the PPF.

This means that the quantity of appliances produced is taken on the horizontal axis on the PPF.

In such scenario, the horizontal intercept will indicate the quantity of appliances that could be produced if society put all its resources into appliances production.

Hence, the correct answer is the option (d) [The horizontal intercept].