Use the PPC to Illustrate Scarcity, Choice, Constant Opportunity Costs

Short Answer

Use the PPC to illustrate scarcity, choice, constant opportunity costs, and the law of increasing marginal opportunity cost.
-Draw a linear PPC like that illustrating the work of Student Painters. On the vertical axis, label large houses, and on the horizontal axis, put small houses. Assume that the company begins using a special kind of scaffolding for painting big houses. However, setting it up takes time, so it is not useful for painting small houses. How will the firm's PPC be affected by this new resource?