Expressions - 1.3.5

: To produce more of Product 1, you must give up production of Product 2.

: If moving from Point B to Point C results in 5 fewer cakes but 30 more muffins, the opportunity cost of those 30 muffins is the 5 cakes sacrificed. 4. Strategies for Growth Expressions 1.3.5

Evaluating the "cost" of shifting production is central to this report: : To produce more of Product 1, you

: Hiring more people to handle multiple tasks simultaneously, increasing the total output potential. Technical Summary Table Definition in 1.3.5 Context Point on Curve Maximum efficiency; all resources used. Point Inside Curve Inefficiency; resources or time wasted. Point Outside Curve Impossible/Unattainable with current resources. Shift Outward Economic growth via new technology or more labor. Expressions 1.3.5