Final answer:
A situation where a product can be manufactured in many plants, and a plant can manufacture many products, is an example of a many-to-many relationship, illustrated by production possibilities curves showing various outcomes of resource allocation.
Step-by-step explanation:
If a product can be manufactured in many plants, and a plant can manufacture many products, this is an example of a many-to-many relationship. In business terms, this kind of relationship is often mapped out using a database schema where one table (products) relates to another table (plants) with a junction or associative table defining the relationships.
For instance, Plant 1 can produce 200 pairs of skis per month when it is exclusively producing skis or 100 snowboards when exclusively producing snowboards. However, it can also produce both products simultaneously, showing the flexibility in the production process. This shows that a many-to-many relationship exists because multiple products are linked to multiple plants.
Production possibilities curves, as shown in the provided figures, further illustrate the various production outcomes based on the allocation of resources at each plant, indicating the trade-offs and opportunity costs associated with producing different combinations of skis and snowboards.