In economics, PPF stands for Production Possibility Frontier, which is a graph that shows all the different combinations of output of two goods that can be produced using available resources and technology. The PPF captures the concepts of scarcity, choice, and tradeoffs. It is also referred to as the production possibility curve. The PPF is a microeconomic concept that defines all of the possible combinations of goods that a business can produce, given some finite resource. It can be used as a decision-making tool by managers. The concept can also be applied in macroeconomics as the limitations of output that a country can reach on its own, given its scarce resources. The PPF is used to illustrate the maximum amount that can be produced by a company or economy, given limited resources. The shape of the PPF depends on whether there are increasing, decreasing, or constant costs. Points that lie on the PPF illustrate combinations of output that are productively efficient. The slope of the PPF indicates the opportunity cost of producing one good versus the other good, and the opportunity cost can be compared to the opportunity costs of another producer to determine comparative advantage.