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A-Level Economics · PPF outward shift (economic growth) diagram question
Which point was UNATTAINABLE before the growth, but is attainable once the frontier has shifted out to PPF2?
The diagram
The answer
Point B. B is beyond the old frontier: at 7 consumer goods, PPF1 offered no capital goods at all. Only growth gets you there. Ask of every point: which side of PPF1 is it on? B lies OUTSIDE PPF1 but ON PPF2 — unreachable yesterday, reachable today. That is exactly what an outward shift means. M lies outside BOTH frontiers, so it is still out of reach.
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