When a production possibilities frontier is bowed outward,the opportunity cost of producing an additional unit of a good
A)increases as more of the good is produced.
B)decreases as more of the good is produced.
C)does not change as more of the good is produced.
D)may increase,decrease,or not change as more of the good is produced.

Question

Quizplus · Accepted Answer

A bowed outward production possibilities frontier indicates increasing opportunity costs, meaning that as more of a good is produced, the opportunity cost of producing additional units increases.

When a Production Possibilities Frontier Is Bowed Outward,the Opportunity Cost