Suppose sweden produces only tablets and smartphones. The resources that are used in the production of these two goods are not specialized—that is, the same set of resources is equally useful in producing both smartphones and tablets. The shape of sweden's production possibilities frontier (ppf) should reflect the fact that as sweden produces more smartphones and fewer tablets, the opportunity cost of producing each additional smartphone

The PPF for Sweden is downward sloping straight line which depicts that the resources that are used in the production of these two goods are not specialized and the same set of resources is equally useful in producing both smartphones and tablets. Thus, Sweden's opportunity cost of producing more smartphones and fewer tablets should remain constant.

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ogorwyne ogorwyne · Answer 2 · 2022-02-01T13:11:23+01:00

ogorwyne ogorwyne

01-02-2022

If Sweden should produce only these two items, the shape of their PPF would be a straight line.

This is going to be a straight line due to the fact that the opportunity cost is constant.

What is the production possibilities frontier

This is a curve that shows the minimum cost that is incurred in the production of two different goods.