A Country Produces Only Apples and Bananas

question 63

Multiple Choice

A country produces only apples and bananas.Moving from point A to point B along its production possibilities frontier,5 apples are forgone and 4 bananas are gained.What is the opportunity cost of a banana?

• A) 4 apples
• B) 5/4 of an apple
• C) 4/5 of an apple
• D) 1 banana
• E) None of the above answers is correct.

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Definitions:

Preoperational Intelligence

Piaget’s term for cognitive development between the ages of about 2 and 6; it includes language and imagination (which involve symbolic thought), but logical, operational thinking is not yet possible at this stage.

Symbols

Marks, signs, or objects that represent ideas, concepts, or other abstractions.

Logical Reasoning

The process of using a rational, systematic series of steps based on sound mathematical procedures and given statements to arrive at a conclusion.

Egocentrism

A developmental phase where an individual is unable to differentiate between their own perspective and that of others, commonly seen in early childhood.