Opportunity Cost
Worked Example
The Production Possibilities Curve
Points ON the PPC are efficient; inside is inefficient; outside is unattainable with current resources
Key Properties
Constant vs. Increasing Opportunity Cost
Bowed-out PPC (increasing opportunity cost) vs. straight-line PPC (constant opportunity cost)
Shifting the PPC
Asymmetric Shifts
Macro Connection
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AP Exam Tips
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Common Mistakes
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