Final answer:
ISO 14000 is a type of Environmental certification standard. It aims to help organizations reduce environmental impacts and comply with laws while promoting continuous improvement. The Production Possibility Frontier (PPF) is a curve that shows the trade-off between environmental quality and economic output, with points on the curve representing productive efficiency.
Step-by-step explanation:
Type of ISO 14000 Certification Standard
ISO 14000 is a family of standards related to environmental management that exists to help organizations (a) minimize how their operations (processes, etc.) negatively affect the environment (i.e. cause adverse changes to air, water, or land); (b) comply with applicable laws, regulations, and other environmentally oriented requirements; and (c) continually improve in the above. The correct answer to what type of certification standard ISO 14000 is: a) Environmental.
Production Possibility Frontier Analysis
To sketch a graph of a production possibility frontier (PPF) with environmental quality on the horizontal axis and quantity of economic output on the vertical axis, you would depict a curve showing the trade-off between the two. Points on the curve indicate productive efficiency, meaning that you can't produce more of one good without producing less of another. Points on the curve where society's preferences are best represented indicate allocative efficiency. Choices on the curve display productive efficiency because any movement away from the curve would mean that less of at least one of the goods could be produced with the available resources.
Allocative efficiency is shown by specific points on the PPF that reflect the preferences of society - where marginal benefit equals marginal cost for both goods. It's not possible to determine which choice is better without knowing society's preferences between environmental quality and economic output.
Without more context, it is challenging to definitely say if K or L is better; however, if society values the environment more, L might be better. Similarly, between K and N, without preference information, we cannot conclusively determine which is better.
The choice that is more likely to represent a command-and-control environmental policy might be less efficient and involve direct regulation, while a market-oriented environmental policy would involve more efficient market-based approaches like taxes or tradable permits.