Economics 1st Edition by Dean Karlan,Jonathan Morduch

تمرين 7

Use the production possibilities frontier in Figure 2P-2 to answer the following questions.

a. What is the slope of the PPF between point A and point B?
b. What is the slope of the PPF between point B and point C?
c. Is the opportunity cost of producing hammers higher between points A and B or between points B and C?
d. Is the opportunity cost of producing screwdrivers higher between points A and B or between points B and C?