What does increasing marginal opportunity costs mean? A. Increasing the production of a good requires smaller and 'smaller decreases in the production of another B. Increasing the production of a good requires larger and larger decreases in the production of another goo C. Increasing the production of a good requires decreases in the production of another good. D. Production is not occurring on the production possibilities frontier. E. The economy is unable to produce inc.easing quantities of goods and services.

The concept of **increasing marginal opportunity costs** is central to understanding the shape of the Production Possibilities Frontier (PPF) in economics. Here's a breakdown: - **Opportunity Cost**: This refers to what you give up when you choose to produce more of one good over another. - **Increasing Marginal Opportunity Costs**: As you produce more of one good, the opportunity cost of producing additional units (in terms of the other good forgone) increases. This typically occurs because resources are not equally efficient in producing all goods. **Analyzing the Options:** - **A.** This suggests decreasing opportunity costs, which is the opposite of what's described. - **B.** **Correct.** It accurately states that producing more of one good requires increasingly larger sacrifices of another good. - **C.** While true in general, it doesn’t capture the "increasing" aspect of the opportunity costs. - **D.** This is unrelated to the concept of opportunity costs. - **E.** This speaks to overall production capacity, not the changing trade-offs between goods. **Therefore, the best answer is:** **B. Increasing the production of a good requires larger and larger decreases in the production of another good**