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c) The PPF is bowed outward due to the law of increasing opportunity costs. Imagine you are producing at point A in the graph of part a). There you produce only grapes using all of your land. Now you want to consider raising 200 llamas (which means moving to point B). To
Principles of Economics/PPF - The PPF. 1  The Production possibilities curve or frontier (PPF) is a graphical means of depicting the concept of diminishing returns and opportunity costs. 2  A single PPF curve is for an unchanging set of resources. 3  A two-dimensional PPF works with two products, each of them taking an axis (which one doesn't matter).