The production possibility curve is represented in it's many forms through graphs (Circular flow, Production Possiblity Curve I, Production Possibility Curve II and Production Possibility Curve III) as a demonstration of the different rates of production two goods and/or service that an economy can produce efficiently during a specific period of time (with a limited quantity of productive resources). The Production possibility curve shows the maximum amount of one commodity that can be obtained for any specific production level of the other commodity, given the societies technology and the amount of factors of production available.
Choices an individual has to make in life based on the scarcity and choice is deciding what to buy and what to give up to maximize our satisfaction. For example if you gave up attending NHL hockey games in exchange of watching it on TV, the cost of watching the game on TV is nothing.
One other significant opportunity cost is returning to school and giving up wages in return for knowledge to enhance my skills. The opporunity costs is gaining further knowledge in my field of work, the opportunity of becoming a manager and increased salary expectations in exchange for current possible earnings.
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