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... to increase production output of one product, without sacrificing the production levels of the other. In other words - there will always be an increasing oppertunity cost - this is an economical fact. This is where the importance of a concave PPF is apparant - it correctly depicts the principal of marginal oppertunity cost. This can be seen clearly in the production possibility frontier below. As seen in the production possibility frontier above, as the economy hightened production levels for product B (moving from point A, to point B, before finally moving to point C), they faced an oppertunity cost in the production levels of product A - at an increasing rate. In other words, they experienced a marginal oppertunity cost. Had the PPF been linear, rather than curved, it would not have portrayed this correctly. Rather, it would have wrongfully conveyed that hightened production of one product would exhibit ...