00:01
Hey everyone, today we're answering problem 20 from chapter 2 the textbook, which essentially asks us to think about how a large -scale war, such as world war ii, would affect the production possibilities curve for that of germany.
00:17
And in the prompt, it's mentioned that factories were decimated and also civilians and soldiers were decimated.
00:24
So if factories were decimated and civilians who are potentially, you know, workers in these factories are also killed, in the war, altogether the production will just, the production possibilities curve will shift to the left and decrease because there's less opportunity for production.
00:43
And a general rule of thumb when dealing with production possibilities curve is that when there is a large scale event such as like a war or even like a natural disaster, the wars and natural disasters, those will for both of these types of, you know, large skill vents that actually cause civilian debts and, you know, factories to just be decimated, they will always decrease the ppc...