Opportunity cost is illustrated in a production possibilities frontier PPF) by a movement

Question

Quizplus · Accepted Answer

Opportunity cost is the cost of a choice in terms of the next best alternative that must be given up. This is illustrated in a PPF by a movement along the curve, where to gain more of one good it is necessary to give up some of another good. This movement represents the opportunity cost of producing one good over another. Therefore, option D is the correct answer.

Opportunity Cost Is Illustrated in a Production Possibilities Frontier PPF)