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Suburbia has a PPC bowed out from the origin for two goods, guns and butter, that Suburbia produces from its available resources and technology. The
Suburbia has a PPC bowed out from the origin for two goods, guns and butter, that Suburbia produces from its available resources and technology. The following table describes six points that lic on Suburbia's PPC: Combination Number of guns Pounds of butter A 0 80 B 10 75 C 20 65 D 30 50 E 40 30 50 0 19. Suppose that Suburbia initially produces at point D. What is the opportunity cost of moving to point a. 10 guns b. 40 guns c. 20 pounds of butter d. 30 pounds of butter e. 70 pounds of butter 20. Suppose that Suburbia initially produces at point D. What is the opportunity cost of moving to point B? a. 25 pounds of butter b. 20 guns C. 10 guns d. 75 pounds of butter e. 50 pounds of butter
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