If a production possibilities schedule appears as a downward sloping straight line,there occurs
A) increasing opportunity cost
B) decreasing opportunity cost
C) constant opportunity cost
D) negative opportunity cost

Question

Quizplus · Accepted Answer

A downward sloping straight line in a production possibilities schedule indicates constant opportunity cost, as the trade-off between the two goods remains the same.

If a Production Possibilities Schedule Appears as a Downward Sloping