What is Economic Growth ?

&NewLine;<&excl;-- WP QUADS Content Ad Plugin v&period; 2&period;0&period;95 -->&NewLine;<div class&equals;"quads-location quads-ad1" id&equals;"quads-ad1" style&equals;"float&colon;left&semi;margin&colon;0px 0px 0px 0&semi;">&NewLine;&NewLine;<&sol;div>&NewLine;<&sol;blockquote>&NewLine;<h2>Graphically describing the PPC<a href&equals;"http&colon;&sol;&sol;mba-tutorials&period;com&sol;&sol;wp-content&sol;uploads&sol;2014&sol;01&sol;PPC&period;jpg"><img title&equals;"PPC" style&equals;"border-left-width&colon; 0px&semi; border-right-width&colon; 0px&semi; background-image&colon; none&semi; border-bottom-width&colon; 0px&semi; float&colon; none&semi; padding-top&colon; 0px&semi; padding-left&colon; 0px&semi; margin-left&colon; auto&semi; display&colon; block&semi; padding-right&colon; 0px&semi; border-top-width&colon; 0px&semi; margin-right&colon; auto" border&equals;"0" alt&equals;"PPC" src&equals;"http&colon;&sol;&sol;mba-tutorials&period;com&sol;&sol;wp-content&sol;uploads&sol;2014&sol;01&sol;PPC&lowbar;thumb&period;jpg" width&equals;"301" height&equals;"263"&sol;><&sol;a><&sol;h2>&NewLine;<p> The Above Graph shows all the possible combinations of two goods which can be produced at any one time&comma; given existing resources&period; If all resources are devoted to producing <strong>Good X<&sol;strong>&comma; than <strong>ON<&sol;strong> units can be Produced&period; If however&comma; all resources are used to produce <strong>Good Y&comma;<&sol;strong> than <strong>OM<&sol;strong> units can be produced&period; If a combination of <strong>X<&sol;strong> and <strong>Y <&sol;strong>is desired than all possible combinations are shown by the line <strong>MN<&sol;strong> which is drawn convex to the origin&period;<&sol;p>&NewLine;<p> &lbrack;large&rsqb;<&sol;p>&NewLine;<p> This line shows both <strong>factor combination and factor substitution&period;<&sol;strong>&nbsp&semi; It shows how a country’s factors of production can be combined in different ways in order to vary the pattern of Output&period; It also shows how factors can be substituted for each other in order to produce less of one good and more of another&period; We also see a shift in the PPC that couldn’t possibility be the Increase in the potential capacity of country’s production&period; For example &colon; Technological Factor&comma; Increase in Capital etc showing the shift as <strong>N<sub>1<&sol;sub>M<&sol;strong><sub><strong>1<&sol;strong>&period; <&sol;sub>&NewLine;<&excl;-- WP QUADS Content Ad Plugin v&period; 2&period;0&period;95 -->&NewLine;<div class&equals;"quads-location quads-ad2" id&equals;"quads-ad2" style&equals;"float&colon;none&semi;margin&colon;0px 0 0px 0&semi;text-align&colon;center&semi;">&NewLine;&NewLine;<&sol;div>&NewLine;&NewLine;<&excl;-- WP QUADS Content Ad Plugin v&period; 2&period;0&period;95 -->&NewLine;<div class&equals;"quads-location quads-ad3" id&equals;"quads-ad3" style&equals;"float&colon;none&semi;margin&colon;0px&semi;">&NewLine;&NewLine;<&sol;div>&NewLine;&NewLine;