Question

Can somebody solve a Macroeconomics question here? According to the graph, the opportunity cost of producing 25 additional bottles of coconut oil is?

Answer 1

I don't know how to solve this.

Answer 2

We're at point c, right?

Answer 3

@tkhunny yes

Answer 4

Okay, where do we land if we produce 25 more c-oil?

Answer 5

Since we're at 125 c-oil then should I be moving up the curve towards 150 c-oil?

Answer 6

So it will be 200 shell necklaces? @tkhunny

Answer 7

That's where you land, but where were you? It is the difference that is the opportunity cost.

Answer 8

You had to give up _____________ necklaces in order to produce 50 more c-oil.

Answer 9

Oh alright. So then it is 100 shell necklaces, right? @tkhunny

Answer 10

There you have it.

Answer 11

@tkhunny Alright, thank you so much for clearing this up!