Macroeconomics + Economy 2009 Update 18th Edition by Campbell McConnell, Sean Masaki Flynn,Stanley Brue

Exercise 8

Production possibilities curve ABCDE is bowed out from the origin because:
A) the marginal benefit of pizzas declines as more pizzas are consumed.
B) the curve gets steeper as we move from E to A.
C) it reflects the law of increasing opportunity costs.
D) resources are scarce.