PPC refers to the production possibility curve in country T. What happens to country T’s opportunity costs of producing X as it raises output of X?
- AOpportunity costs are constant between points 1 and 2, and between points 3 and 4.
- BOpportunity costs decrease between points 1 and 2, and increase between points 3 and 4.
- COpportunity costs decrease between points 1 and 2, and between points 3 and 4.
- DOpportunity costs increase between points 1 and 2, and between points 3 and 4.