Answer:
– Opportunity cost is most plainly visible when spending more money on one thing means that less money can be spent on another thing. – When production is characterized by constant opportunity cost, the resulting production possibilities frontier will be a straight line.
The law of increasing opportunity cost is the concept that as you continue to increase production of one good, the opportunity cost of producing that next unit increases. This comes about as you reallocate resources to produce one good that was better suited to produce the original good.
When drawing a production possibilities frontier, which of the following is held constant? attainable and unattainable combinations of goods and services. The table above gives four production possibilities for airplanes and cruise ships.
Explanation:
