Production Possibility Frontier (PPF) is the graph which indicates the various production possibilities when resources are fixed. The production of one commodity can only be increased by sacrificing the production of the other commodity. It is also called as the production possibility curve or product transformation curve. The production possibility frontier slopes downwards to the right as the resources are limited. A PPF illustrates several economic concept, such as allocative efficiency, economies of scale, opportunity cost and scarcity of resources.