As you move downward along a PPF, the opportunity cost of another unit of the good measured along the horizontal axis decreases.

Question

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As you move downward along a PPF, the opportunity cost of another unit of the good measured along the horizontal axis increases. This is because resources are not equally well suited to production of both goods, so as you produce more of one good, increasingly scarce resources must be diverted from the production of the other good, leading to an increase in opportunity cost. The reverse is true as you move upward along the PPF, where the opportunity cost of producing the good measured along the horizontal axis decreases.

As You Move Downward Along a PPF, the Opportunity Cost