-The above figure shows the production possibility frontier for a country.Suppose the country is producing at point E.What would be the opportunity cost to increase the production of wine to 9 thousand bottles?
A)9 thousand bottles of wine
B)3 tonnes of rice
C)12 tonnes of rice
D)15 thousand bottles of wine
E)Nothing,it is a free lunch.

Question

-The above figure shows the production possibility frontier for a country.Suppose the country is producing at point E.What would be the opportunity cost to increase the production of wine to 9 thousand bottles?
A)9 thousand bottles of wine 
B)3 tonnes of rice 
C)12 tonnes of rice 
D)15 thousand bottles of wine 
E)Nothing,it is a free lunch.

Quizplus · Accepted Answer

The opportunity cost of increasing wine production from 6,000 to 9,000 bottles is 3 tonnes of rice, as shown by the movement from point E to point F on the production possibility frontier.

-The Above Figure Shows the Production Possibility Frontier for a Country.Suppose