A PPF is a straight line as a result of
A) constant opportunity costs.
B) increasing opportunity costs.
C) decreasing opportunity costs.
D) scarcity.
E) choice.

Question

Quizplus · Accepted Answer

A PPF is a straight line when the opportunity cost of producing a good is constant. This means that to produce more of one good, an equal amount of the other good must be given up. This results in a linear relationship between the two goods on the PPF.

A PPF Is a Straight Line as a Result of