When a Production Possibilities Frontier Is Bowed Outward,the Opportunity Cost

question 168

Multiple Choice

When a production possibilities frontier is bowed outward,the opportunity cost of producing an additional unit of a good

• A)increases as more of the good is produced.
• B)decreases as more of the good is produced.
• C)does not change as more of the good is produced.
• D)may increase,decrease,or not change as more of the good is produced.

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Definitions:

Self-interest

Acting based on one’s own benefit or advantage, often disregarding others.

Utilitarian Theory

A normative ethical theory that proposes actions are right if they benefit the majority, aiming to maximize happiness and reduce suffering.

Equally

Pertaining to being the same in quantity, size, degree, or value, or treating all parties in a situation or context without partiality or discrimination.

Utilitarians

Advocates of utilitarianism, a theory in ethics which states that the best action is the one that maximizes utility, usually defined as that which produces the greatest well-being of the greatest number of people.