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Use the following to answer questions:
-(Table: Workers and Output) Look at the table Workers and Output. After graduation you achieve your dream of opening an art shop that specializes in selling mud statues. You pay $10 per day on a loan from your uncle, and regardless of how much you produce, you pay $10 per day to each of the workers who make the mud statues. The total cost of producing 25 statues is:
Marginal Rate
The additional cost or benefit associated with producing or consuming one additional unit of a good or service.
Transformation
The process of changing or converting one form or state of something into another, often seen in manufacturing and industry.
Opportunity Cost
The cost of forgoing the next best alternative when making a decision or choosing to consume or produce one good or service over another.
Ppf
The Production Possibility Frontier, a curve depicting the maximum output possibilities for two goods, given available resources and technology.
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