With the assumption that the marginal product of labor is constant and that labor is the only variable resource, the slope of the PPF is:

Question

Quizplus · Accepted Answer

With the assumption that the marginal product of labor is constant, the PPF is a straight line with a negative slope, indicating a constant opportunity cost between producing the two goods. Therefore, the slope is negative and constant.

With the Assumption That the Marginal Product of Labor Is