Use the table below to answer the following question.
Table 2.1.4
Consider the following production possibilities for a student for the typical week:
-Refer to Table 2.1.4.Complete the following sentence.The production possibilities frontier in the table shows
A)increasing opportunity cost.
B)learning-by-doing.
C)constant opportunity cost.
D)under-utilization of resources.
E)decreasing opportunity cost.

Question

Use the table below to answer the following question.
Table 2.1.4
Consider the following production possibilities for a student for the typical week: 
-Refer to Table 2.1.4.Complete the following sentence.The production possibilities frontier in the table shows
A)increasing opportunity cost. 
B)learning-by-doing. 
C)constant opportunity cost. 
D)under-utilization of resources. 
E)decreasing opportunity cost.

Quizplus · Accepted Answer

The production possibilities frontier (PPF) showing increasing opportunity cost means that as production of one good increases, the opportunity cost (in terms of foregone production of another good) increases. This is typically represented by a concave PPF, where moving along the curve from one end to the other involves giving up increasing amounts of the other good.

Use the Table Below to Answer the Following Question