True or False: A production possibilities frontier illustrates the concept of comparative cost by showing the amount of one product a nation must sacrifice to get one additional unit of another product.

Respuesta :

Answer:

True

Explanation:

The production possibilities frontier illustrates the opportunity costs of producing one good instead of anther. Every additional unit produced of the good X (located in the X axis) reduces the amount of good Y (located in the Y axis) that can be produced, and vice versa. So the opportunity cost of producing good X is the amount of good Y that will not be produced.