Figure 1-7 shows the production possibilities boundary for an economy that produces two goods - cotton and bananas. FIGURE 1-7
-Refer to Figure 1-7.A production possibilities boundary is shown for an economy that produces two goods - cotton and bananas,both measured in tonnes produced per year.If the economy moves from point C to point D,what is the opportunity cost of each extra tonne of bananas produced?
A)0.036 tonnes of cotton
B)0.36 tonnes of cotton
C)3.6 tonnes of cotton
D)36 tonnes of cotton
E)360 tonnes of cotton

Question

Figure 1-7 shows the production possibilities boundary for an economy that produces two goods - cotton and bananas.  FIGURE 1-7
-Refer to Figure 1-7.A production possibilities boundary is shown for an economy that produces two goods - cotton and bananas,both measured in tonnes produced per year.If the economy moves from point C to point D,what is the opportunity cost of each extra tonne of bananas produced?
A)0.036 tonnes of cotton 
B)0.36 tonnes of cotton 
C)3.6 tonnes of cotton 
D)36 tonnes of cotton 
E)360 tonnes of cotton

Quizplus · Accepted Answer

The Answer of Figure 1-7 shows the production possibilities boundary for an economy that produces two goods - cotton and bananas.  FIGURE 1-7
-Refer to Figure 1-7.A production possibilities boundary is shown for an economy that produces two goods - cotton and bananas,both measured in tonnes produced per year.If the economy moves from point C to point D,what is the opportunity cost of each extra tonne of bananas produced?
A)0.036 tonnes of cotton 
B)0.36 tonnes of cotton 
C)3.6 tonnes of cotton 
D)36 tonnes of cotton 
E)360 tonnes of cotton

Figure 1-7 Shows the Production Possibilities Boundary for an Economy