When moving along the production possibilities frontier, opportunity cost is measured as the
A) increase in the quantity produced of one good divided by the decrease in the quantity produced of another good.
B) decrease in the quantity produced of one good divided by the increase in the quantity produced of another good.
C) quantity produced of one good divided by the quantity produced of another good.
D) quantity produced of one good multiplied by the quantity produced of another good.
B
You might also like to view...
Other things remaining the same, which of the following is likely to cause a left shift in the supply curve for labor?
A) A decrease in population B) An increase in population C) A decrease in the demand for the final product that the labor is used to produce D) An increase in the demand for the final product that the labor is used to produce
When actual inflation is less than expected inflation
A) borrowers lose and lenders gain. B) borrowers gain and lenders lose. C) borrowers and lenders both lose. D) borrowers and lenders both gain.