(Figure: Pork and Corn PPF 2) The opportunity cost of producing a unit of pork is _____ unit(s) of corn.

Question

Quizplus · Accepted Answer

The slope of the PPF is the opportunity cost of producing one good in terms of the other. From the figure, we can see that in order to produce an additional unit of pork, we must give up the production of 5 units of corn (moving from point A to point B). Therefore, the opportunity cost of producing a unit of pork is 5 units of corn. Choice B is the best answer.

(Figure: Pork and Corn PPF 2) the Opportunity Cost of Producing