Imagine you are an entrepreneur who has made a huge profit selling
Product A. However, even though Product A is still selling well, you have an
idea to produce another product, Product B. Product Ais selling 300 units
and requires very little in the way of resources and is garnering a nice profit.
Product B seems like it would do well, but your market research shows you
probably would only be able to sell 100 units. To help you decide if it's worth
putting your resources toward Product B, create a hypothetical production
possibilities curve and write a one-page essay explaining why or why not it
would be a good decision to only produce Product A or produce both.
Compare your essay and graph with a classmate's to analyze how they
have created their production possibilities curve.
Answers: 1
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