Question

5. Part A

A point inside the production possibilities frontier is

	A. efficient, but not feasible.
	B.  feasible, but not efficient.
	C. both efficient and feasible.
	D. neither efficient nor feasible.

Part B

If at its present point of production Germany must give up 10 units of beer (measured on the vertical axis) to produce one more unit of bread (measured on the horizontal axis), its ____________ of producing another unit of beer is ____________.

a.	absolute advantage; 1/10
b.	opportunity cost; 1/10
c.	comparative advantage; 1/10
d.	opportunity cost; 10