Because Resources Are Scarce, the Opportunity Cost of Investment in Capital

question 73

Multiple Choice

Because resources are scarce, the opportunity cost of investment in capital is

• A) zero.
• B) forgone future consumption.
• C) forgone present consumption.
• D) infinite.

---

Definitions:

Technically Efficient

Refers to a scenario where a firm or system operates in such a way that it cannot produce more of one good without reducing the output of another, utilizing the least amount of resources.

Considerable Autonomy

The significant freedom and independence given to employees or units to make decisions and perform their work without close supervision.

Bureau of Labor Statistics

A U.S. government agency responsible for collecting, analyzing, and disseminating essential statistical data about labor markets, working conditions, and price changes.

U.S. Labor Force

The total supply of workers in the United States, including both employed and unemployed individuals actively seeking employment.