Title: Production Possibilities Frontier (3/3) The Law of Increasing Opportunity Cost -- Video
Course: Andria Testing FRE2 > Section: Production Possibilities Frontier (3/3) The Law of Increasing Opportunity Cost -- Economic Lowdown Video Series

Have you been to a frontier lately? Whether you realize it or not, the economy has a frontier—it has an outer limit of economic production. In this episode of the Economic Lowdown Video Series, Scott Wolla explains how the production possibilities frontier (PPF) illustrates some very important economic concepts.

The final segment of The Production Possibilities Frontier uses the production possibilities frontier to demonstrate how, in the real world, opportunity cost increases as production increases. This is a difficult concept made simple using the PPF.

Watch the video and then click "next" to take the quiz.