Why the health–bread frontier bends backward

Ed has 100 days. Each one goes to producing health (exercise, checkups), being sick, or making bread (work and home goods, one loaf a day). How he splits those days traces out the frontier from the Grossman model.

Production possibilities frontier for health and bread Health is on the vertical axis and bread on the horizontal axis. The frontier starts at A (minimum health, no bread), bulges out to C (the most bread), then curves back to F (the most health, no bread).
  • Ed’s spot

Bread0.0loaves

Health10.0

  • Producing health 0.0 days
  • Sick 100.0 days
  • Making bread 0.0 days

Split Ed’s days and watch the curve appear

Drag the dot along the curve, or use the slider. Start at A and move slowly, keeping an eye on the red sick days.

Point A: minimum health

Try this: find the spot where bread stops growing. How many sick days are left there, and why doesn’t Ed get rid of them?