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Draw PPC for ...

Question

Draw PPC for an economy, if production possibilities are as under. Also find marginal opportunity cost.
Shirt (Millions) $0$ $1$ $2$ $3$ $4$ $5$
Computer (Thousands) $15$ $14$ $12$ $9$ $5$ $10$

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Solution

Shirt (Millions) Computer (Thousands) Marginal Opportunity Cost
$0$ $15$ -
$1$ $14$ $\frac{1}{1} = 1$
$2$ $12$ $\frac{2}{1} = 2$
$3$ $9$ $\frac{3}{1} = 3$
$4$ $5$ $\frac{4}{1} = 4$
$5$ $0$ $\frac{5}{1} = 5$

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