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Refer to the Above Diagram

Question 58

Multiple Choice

  Refer to the above diagram.The movement down the production possibilities curve from point A to point E suggests that the production of: A) computers, but not bicycles, is subject to increasing opportunity costs. B) bicycles, but not computers, is subject to increasing opportunity costs. C) both bicycles and computers is subject to constant opportunity costs. D) both bicycles and computers is subject to increasing opportunity costs. Refer to the above diagram.The movement down the production possibilities curve from point A to point E suggests that the production of:


A) computers, but not bicycles, is subject to increasing opportunity costs.
B) bicycles, but not computers, is subject to increasing opportunity costs.
C) both bicycles and computers is subject to constant opportunity costs.
D) both bicycles and computers is subject to increasing opportunity costs.

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