Given a production possibilities curve for consumer goods (on the x-axis) and capital goods (on the y-axis), the opportunity cost of increasing the production of consumer goods is greatest
When the slope of the production possibilities curve is:
A) 3
B) 5/2
C) -5/2
D) -3

Question

Quizplus · Accepted Answer

The opportunity cost is greatest when the slope of the production possibilities curve is steepest in the negative direction, which is -3 in this case.

Given a Production Possibilities Curve for Consumer Goods (On the X-Axis)