Refer to the accompanying figure. If this economy is currently producing at point C, then the opportunity cost of providing 100 additional units of medical care would be:
A)800 warheads.
B)400 warheads.
C)200 warheads.
D)100 warheads.

Question

Refer to the accompanying figure. If this economy is currently producing at point C, then the opportunity cost of providing 100 additional units of medical care would be: 
A)800 warheads. 
B)400 warheads. 
C)200 warheads. 
D)100 warheads.

Quizplus · Accepted Answer

Moving from point C to point E (an increase of 100 units of medical care), would entail giving up 400 (= 800 - 400)warheads.

Refer to the Accompanying Figure