1,000 900 800 700 600 500 400 300 200 100 SOFAS A Figure 2-6 100 200 300 400 500 600 700 800 900 1,000 CARS Refer to Figure 2-6. Consider the production possibilities frontier for an economy that produces only sofas and cars. The opportunity cost of each car is a. the reciprocal of the slope of the production possibilities frontier, or 3/2 sofas b. the reciprocal of the slope of the production possibilities frontier, or 2/3 of a sofa. Oc the slope of the production possibilities frontier, or 3/2 sofas d. the slope of the production possibilities frontier, or 2/3 of a sofa.

1,000 900 800 700 600 500 400 300 200 100 SOFAS A Figure 2-6 100 200 300 400 500 600 700 800 900 1,000 CARS Refer to Figure 2-6. Consider the production possibilities frontier for an economy that produces only sofas and cars. The opportunity cost of each car is a. the reciprocal of the slope of the production possibilities frontier, or 3/2 sofas b. the reciprocal of the slope of the production possibilities frontier, or 2/3 of a sofa. Oc the slope of the production possibilities frontier, or 3/2 sofas d. the slope of the production possibilities frontier, or 2/3 of a sofa.

ECON MICRO

5th Edition

ISBN:9781337000536

Author:William A. McEachern

Publisher:William A. McEachern

Chapter2: Economic Tools And Economic Systems

Section: Chapter Questions

Problem 3.5P

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