Define crusoe's production-possibilities frontier and its effects

Crusoe's production-possibilities frontier indicates the production possibilities of two items when resources are stable. This means, that the production of one item can only increase when the production of the other item is minimized, because of the accessibility of the resources.

Crusoe's production- possibilities frontier measures the efficiency in which two items can be produced together. It separates results that are possible for an individual to produce from those that cannot be produced.

Crusoe's production-possibilities frontier helps company managers decide what mix of items can be produced together and are more beneficial for the company, showing the effects of economic growth.  

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