**Step 3: Draw another PPF of the economy with the axes labeled.**- **Grab another color pen/pencil/highlighter** and show how the PPF would change if there was a drought that destroyed some of the blueberry harvest.- **Hint:** The intercept for batteries will not change.- **Clearly label the new PPF.****Explanation:**A graph depicting the PPF (Production Possibilities Frontier) is suggested. The axes should be labeled to represent two different goods or outputs. The task requires illustrating how the PPF would shift or change shape due to a reduction in blueberry production caused by a drought. The intercept for the other good, batteries, remains unaffected, indicating no change in its maximum potential output. A different color should be used to distinguish the new PPF resulting from the drought. Clearly labeling the new curve will help identify its relationship to the original PPF.

The production possibility frontier refers to the curve that shows combinations of two goods that…

Step 3. Draw another PPF of the economy with the axes labeled. Grab another color pen/pencil/highlighter and show how the PPF would change if there was a drought that destroyed some of the blueberry harvest. (Hint: The intercept for batteries will not change.) Clearly label the new PPF.

Step 3. Draw another PPF of the economy with the axes labeled. Grab another color pen/pencil/highlighter and show how the PPF would change if there was a drought that destroyed some of the blueberry harvest. (Hint: The intercept for batteries will not change.) Clearly label the new PPF.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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based on the image and the PPF is point b efficient? why?