Question

Production possibilities frontiers usually curve out and away from the origin. The implication of this curvature is that:_________

a. the opportunity cost of producing a good stays the same regardless of how much of that good is produced.

b. the opportunity cost of producing a good goes down as more of that good is produced.

c. some resources are better at producing one good while other resources are better at producing alternative goods.

d. technological change is present.

e. as resources are used to produce one good, fewer resources are available to produce another good.

Answer 1

The right response is Option C (Some resources..............goods).

Step-by-step explanation:

• It should be remembered whether PPF seems to be concave to something like the root, representing growing opportunity costs, in other words whenever one starts going down upon this PPF, the inventory cost between one item which requires to be substituted improves throughout addition maximize enhance the production of both of these commodities.
• The program is given when continuous and along output prospect boundary.

Some other options offered are not relevant to the case described. So the solution here was the right one.