Reference:
Table SEQ Table 1: Production Possibilities
$$\begin{array} { | l | l | l | l | l | l | l | }
\hline{ \text { Praductim Passibilities } } \
\hline & \mathbf { A } & \mathbf { B } & \mathbf { C } & \mathbf { D } & \mathbf { E } & \mathbf { F } \
\hline \text { Tractors } & \mathbf { 0 } & 1 & \mathbf { 2 } & \mathbf { 3 } & 4 & 5 \
\hline \text { Food } & 75 & 50 & \mathbf { 3 0 } & 15 & 5 & 0 \
\hline
\end{array}$$
-Consider the Table 1.When moving from A to F, the cost of a unit of Tractors in terms of food

Question

Reference:
Table SEQ Table  1: Production Possibilities
 $$\begin{array} { | l | l | l | l | l | l | l | } 
\hline{ \text { Praductim Passibilities } } \
\hline & \mathbf { A } & \mathbf { B } & \mathbf { C } & \mathbf { D } & \mathbf { E } & \mathbf { F } \
\hline \text { Tractors } & \mathbf { 0 } & 1 & \mathbf { 2 } & \mathbf { 3 } & 4 & 5 \
\hline \text { Food } & 75 & 50 & \mathbf { 3 0 } & 15 & 5 & 0 \
\hline
\end{array}$$
-Consider the Table 1.When moving from A to F, the cost of a unit of Tractors in terms of food

Quizplus · Accepted Answer

As we move from A to F, the production of tractors increases, but the production of food decreases. This implies that resources are being shifted from the production of food to the production of tractors. This means that the cost of producing tractors in terms of food must rise, i.e., the opportunity cost of producing tractors increases as we move from A to F. Therefore, the answer is A, the cost of a unit of Tractors in terms of food increases.

The best choice based on the production possibilities table is to produce at point C, which is the point of maximum efficiency. At point C, the economy is able to produce 2 units of tractors and 30 units of food, which is on the production possibilities curve. Any point inside the curve, such as points A, B, and D, is inefficient, while any point outside the curve, such as points E and F, is unattainable given the economy's resources and technology.

Reference: Table SEQ Table 1: Production Possibilities -Consider the Table 1

Reference:
Table SEQ Table 1: Production Possibilities -Consider the Table 1