ppt课件-productionpossibilityfrontier-cornelluniversity.pptVIP

Production Possibility Frontier The Production Possibilities Frontier Let’s introduce the Production Possibilities Frontier better known as the PPF. The PPF is a basic workhorse in economics. Important for understanding some basic issues in economics. The PPF Great application is with international trade theory. Helps one understand and distinguish between comparative advantage and absolute advantage. An important historical figure in all this is David Ricardo. David Ricardo Famous 19th century British economist. Some consider him the grandfather of international trade theory. Very influential