To Find the Opportunity Cost of Producing One More Unit

question 45

Multiple Choice

To find the opportunity cost of producing one more unit of any product while on the production possibilities frontier requires

• A)subtracting the change in the product whose production increased from the change in the product whose production decreased.
• B)dividing the amount of the product forgone by the amount of the product gained.
• C)setting the change in one product equal to the change in the other product.
• D)setting the amounts of the two products equal to each other.
• E)None of these describe how to find opportunity cost.

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Definitions:

Management Acceptance

The process through which higher management approves and supports decisions, changes, or strategies for implementation within an organization.

Union Density Rate

A measure of the proportion of workers within a specific industry or country who are members of trade unions.

Industrial Development

The process of building up a country's capacity to process raw materials and manufacture goods for consumption or export.

Canadian Labor Law

The body of laws regulating employment, unions, and collective bargaining in Canada.