A company could produce x amount of manufactured goods and x amount of non-manufactured goods on the production production possibility curve. because of scarcity, it can not satisfy all its needs, which is to, produce same amount of manufactured goods and non-manufactured goods at the same time. As a result, more units of manufactured goods are produced whereas less units of non-manufactured goods are produced. An increase in the amount of manufactured goods will lead to a decrease in the amount of non-manufactured goods, which according to the production possibility frontier, will move the letter representing manufactured goods along the horizontal line depending on the decrease in non-manufactured goods, will allow the letter to move up
