Suppose that the PPF for restaurant meal production at a New York City restaurant measures indoor dining tables on the y-axis and outdoor dining tables on the x-axis. Given the response to the pandemic along with the information given in the news story, explain how the summer 2020 PPF differs from the summer 2019 PPF.
Expansion of outdoor areas increased the number of outdoor tables, so the x-axis of the PPF What happened inside restaurants?
If the restaurant puts all its resources into serving customers outdoors, has the maximum number of outdoor tables changed? If the restaurant puts all its resources into serving customers indoors, has the maximum number of indoor tables changed? Is there a movement along the PPF or does the curve shift?
Restrictions to restaurant capacity decreased the number of tables inside restaurants, so the y-axis of the PPF decreased. What happened outside restaurants?
Restrictions to restaurant capacity decreased the number of tables inside restaurants, so the y-axis of the PPF Expansion of outdoor areas increased the number of outdoor tables, so the x-axis of the PPF increased.
New York City has decreased indoor restaurant capacity but is allowing restaurants to expand outdoors. Restaurants are moving tables onto the sidewalks and into curbside parking spaces.