A town on the northern region of Bangladesh is battered by a flood that destroys most of its productive resources. The community's production possibilities frontier (PPF) would show an:

The question is incomplete and the full version can be found online.  

a)inward shift of the PPF.

Explanation:

The options provided for this question are:

a)inward shift of the PPF.

b)outward shift of the PPF.

c)outward rotation along the x axis.

d)outward rotation along the y axis.

e)increase in opportunity cost.

The Production Possibilities Frontier (PPF) is a graph displaying the different combinations of the output of two different goods that can be manufactured with certain resources and technology.

A flood such as the one in this example is one of several events that can reduce an economy's productive potential. The consequent exhaustion of scarce resources would shift the PPF inward.

On the other hand, for example, if the economy would have, for some reason, increased its capacity to produce, the shift in the PPF would be outward.

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