4. Demonstrate your understanding of the PPC. Use the table below to graph the PPC and make the necessary calculations to answer questions a-c. A B D E Ice cream 1 2 4 Chocolate 30 29 25 15 a. Calculate the opportunity cost (OC) from the following combinations: 30 • A to B • B to C • E to D • C to A 25 20 15 10 0 1 2 3 4 ICE CREAM b. What is the difference between Point D and Point B? Elaborate on your answer. c. Label the following points in the graph above. | = Inefficient E = Efficient U = Unattainable CHOCOLATE

Microeconomics
13th Edition
ISBN:9781337617406
Author:Roger A. Arnold
Publisher:Roger A. Arnold
Chapter2: Production Possibilities Frontier Framework
Section: Chapter Questions
Problem 3WNG
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.

4. Demonstrate your understanding of the PPC. Use the table below to graph the PPC
and make the necessary calculations to answer questions a-c.
A
B
D
E
Ice cream
1
3
Chocolate
30
29
25
15
a. Calculate the opportunity cost
(OC) from the following
combinations:
• A to B
• B to C
• E to D
• C to A
30
25
20
15
10
5
1
4
ICE CREAM
b. What is the difference between Point D and Point B? Elaborate on your answer.
c. Label the following points in the graph above.
| = Inefficient
E = Efficient
U = Unattainable
CHOCOLATE
Transcribed Image Text:4. Demonstrate your understanding of the PPC. Use the table below to graph the PPC and make the necessary calculations to answer questions a-c. A B D E Ice cream 1 3 Chocolate 30 29 25 15 a. Calculate the opportunity cost (OC) from the following combinations: • A to B • B to C • E to D • C to A 30 25 20 15 10 5 1 4 ICE CREAM b. What is the difference between Point D and Point B? Elaborate on your answer. c. Label the following points in the graph above. | = Inefficient E = Efficient U = Unattainable CHOCOLATE
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