To analyze whether the production of product B can be increased, we need to refer to the production possibilities curve (PPC) table you've provided.
Currently, the firm is producing:
- 30 units of product A
- 39 units of product B
Looking at the table, we see that at the production level of 30 units of product A, the maximum possible units of product B is 39. This means that the firm is currently on the production possibilities curve at the point where it produces 30 units of product A and 39 units of product B.
To increase the production of product B, the firm would need to reduce the production of product A, as suggested by the nature of the PPC, where more of one good can only be produced at the expense of the other.
Thus, the correct response is:
Yes, the production of product B can be increased up to 51 by decreasing the volume for product A.
This means that by reducing the production of product A from 30 units to 10 units, the firm can increase the production of product B up to its maximum of 51 units.
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