The opportunity cost of producing more of one good on a production possibilities frontier is
A)a dollar amount.
B)a ratio of prices.
C)equal to the area inside the production possibilities frontier.
D)a ratio of quantities.
E)a theoretical concept which cannot be measured.

Question

Quizplus · Accepted Answer

The opportunity cost on a production possibilities frontier is represented by the ratio of the quantities of the two goods being compared, indicating how much of one good must be sacrificed to produce more of the other.

The Opportunity Cost of Producing More of One Good on a Production