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Question

The slope of PPC is called
953772_2391fbe4b0b145a8a7bcd9a3eea757e6.PNG

A
MRS
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B
Marginal cost
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C
Marginal opportunity cost
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D
None of the above
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Solution

The correct option is C Marginal opportunity cost
The slope of PPC is marginal opportunity cost which states that for production of every successive unit of butter we need to sacrifice more and more of guns.

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