Refer to the information provided in Figure 2.4 below to answer the question(s) that follow.
Figure 2.4According to Figure 2.4, as the economy moves from Point B to Point D, the opportunity cost of motorcycles, measured in terms of hybrid cars,
A. increases
B. remains constant.
C. initially increases, then decreases.
D. decreases.
Answer: A
You might also like to view...
What determines the correct level of input for labor in a firm?
a. Marginal resource cost is higher than marginal revenue product. b. Marginal revenue product is expected to exceed the wage. c. The average total cost of labor exceeds marginal revenue product. d. Marginal resource cost exceeds average total cost of labor.
Which one of the following statements about the United States is true?
A. The United States has experienced inflation every year since 1800. B. Prior to World War II, the United States experienced deflation virtually every year; since World War II, the United States has consistently experienced inflation. C. Prior to World War II, the United States experienced periods of both deflation and inflation. D. Since World War II, the United States has experienced deflation.