Suppose You Find a Production Possibilities Frontier (PPF)that Is Shaped

Multiple Choice

Suppose you find a production possibilities frontier (PPF) that is shaped like a straight line.What can you determine about the production of the two goods?

A) Production of the two goods is subject to decreasing relative cost.
B) Production of the two goods is subject to increasing relative cost.
C) Production of the two goods is subject to constant opportunity cost anywhere along the PPF.
D) One producer must have an absolute advantage in production.
E) More resources will not cause the PPF to shift.