Temple University
Department of Economics


Production Possibilities Frontier

Directions: Fill in the blanks then press the submit button. Where a numerical answer is called for you only need to enter the number.

Your Name:


1. In the country of Rosencrantz only two goods are produced: ham and eggs. The production possibilities schedule is given below:

Ham Eggs
0 20
1 18
2 15
3 11
4 6
5 0

A. The opportunity cost of increasing ham production in this country from 2 units to 3 is eggs?

B. The Opportunity cost of increasing egg production from 11 to 12 units is approximately hams ? You can enter your answer as a fraction.

C. True or False: Given its existing resources, institutions, and technology, Rosencrantz is capable of producing 2.5 units of ham and 10 units of eggs.

D. A new type of chicken feed is invented which increases egg production by 50%. The new feed costs exactly the same as the old. How many eggs can be produced along with 2 hams? eggs

E. How many eggs can be produced along with three hams? eggs

F. What is the opportunity cost of producing three hams instead of two hams with this new technology? eggs


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