Data for Selected Vegetables Purchased at Wholesale Prices for 1995

question 41

Essay

Data for selected vegetables purchased at wholesale prices for 1995 and 2007 are shown next. What is the simple price relative for peas?

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Definitions:

Opportunity Cost

The value of the next best alternative forgone as the result of making a decision.

Production Alternative

Different ways in which a firm could allocate its resources to produce various goods or services.

Capital Goods

Physical assets used by a company to produce goods and services that are used to produce consumer goods or services.

Scarcity

The fundamental economic problem of having seemingly unlimited human wants in a world of limited resources.