For a nation that only produces two goods, the maximum amounts of each of those goods that can be produced are represented by points on a production possibilities curve that are half-way between the vertical and horizontal axes.

a) True
b) False

The point in the curve which intersects the vertical axis means means that the nation produces all A and no B. In this case, the maximum amount of A is given by that point.

The same is truth when the curve intersects with the horizontal axis, at which point you maximize production of B and don't produce any A

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For a nation that only produces two​ goods, the maximum amounts of each of those goods that can be produced are represented by points on a production possibilities curve that are​ half-way between the vertical and horizontal axes. a) True b) False

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For a nation that only produces two goods, the maximum amounts of each of those goods that can be produced are represented by points on a production possibilities curve that are half-way between the vertical and horizontal axes.

a) True
b) False