In order for the production possibilities frontier to be a straight line,
Production must exhibit:
A)increasing costs.
B)decreasing costs.
C)constant costs.
D)increasing, then decreasing, then constant costs.

Question

Quizplus · Accepted Answer

A straight-line PPF implies constant costs of production, where the opportunity cost of producing one good does not increase as more of it is produced, and the same for the other good.

In Order for the Production Possibilities Frontier to Be a Straight