The opportunity cost of producing a bicycle refers to
a. the out-of-pocket payments made to produce the bicycle.
b. the value of the goods that were given up to produce the bicycle.
c. the bicycle's retail price.
d. the marginal cost of the last bicycle produced.
b
You might also like to view...
Which of the following exemplifies the tragedy of the commons?
A) Residents of the southern coast of Alaska receive only one public broadcasting signal which may be eliminated altogether if government funding is cut. B) The Lakeview Estates community is growing so fast that the city's only fire station is not able to keep pace with the population growth in the community. C) British citizens receive free universal health care administered by the government. D) The Tibetan Antelope, distinguished for its fur which is commonly used as a light wool, is a target for poachers.
The table above gives Sharon's demand for ground beef at two different income levels. Use the midpoint method in this problem
a. What is the percentage change in Sharon's income? b. What is the percentage change in the quantity demanded? c. What is Sharon's income elasticity of demand for ground beef? d. Is ground beef a normal or an inferior good for Sharon?