CBSE Class 11-commerce Answered
Fuller utilisation of resources refers to a situation where the resources are used in a best possible manner. Any point on the production possibility curve will be fuller utilisation of resources. So, points on PPF the economy operates means resources are fully and efficiently used.
Any point inside the PPC corresponds to ineffecient or under utilisation of resources.
If resources are not efficiently utilised they are said to be under-utilised. Under-utilisation of resources also leads to wastage of resources. So, every economy should try to utilise the scarce resources most efficiently and adopt better technology and technologies of production to ensure better utilisation of resources.
Since, the resources are scarce in relation their demand, the economy cannot afford to waste them. Hence, the economy must make sure that there is fuller utilisation of resources.