The opportunity cost of obtaining more of one good is shown on the production possibilities frontier as the
A)amount of the other good that must be given up.
B)market price of the additional amount produced.
C)amount of resources that must be devoted to its production.
D)number of dollars that must be spent to produce it.

Question

Quizplus · Accepted Answer

The opportunity cost of obtaining more of one good is what must be given up in terms of the other good. This is depicted on the production possibilities frontier as a trade-off between the two goods, with the slope of the curve representing the rate at which one must be given up to produce more of the other.

The Opportunity Cost of Obtaining More of One Good Is