Assume point A on a linear production possibilities curve represents the combination of 12 coffees and 3 cappuccinos, and point B represents 3 coffees and 6 cappuccinos. Suppose coffees are on the vertical axis and cappuccinos are on the horizontal axis. The opportunity cost of a cup of coffee is:
A. 1/3 of a cappuccino.
B. 6 cappuccinos.
C. 9 cappuccinos.
D. 3 cappuccinos.
Answer: A
Economics
You might also like to view...
During a recession, the
A) cyclical rate of unemployment is positive. B) natural rate of unemployment has fallen. C) cyclical rate of unemployment is zero. D) cyclical rate of unemployment is negative.
Economics
The American Economic Association limiting its presidential vote to only one candidate is an example of agenda control
a. True b. False
Economics