Which points are most efficient for the utilization of resources on a production possibilities diagram

On a production possibilities diagram, the most efficient points for the utilization of resources are those points on the production possibilities frontier (PPF). These points indicate the maximum possible combination of two goods or services that can be produced given available resources and technology.

Specifically, the most efficient points are located on the PPF itself, rather than inside or outside of it. These points imply that resources are fully utilized and allocated in the most optimum way.

Moreover, the points along the PPF that are closer to the curve represent a higher level of efficiency. This is because they demonstrate a more optimal allocation of resources, indicating the ability to produce more of one good without sacrificing the production of the other good.

In summary, the most efficient points on a production possibilities diagram are those located directly on the PPF and closer to the curve, as they indicate full resource utilization and the best possible allocation of resources.