The Opportunity Cost of an Extra Hour of Leisure Is

question 221

Multiple Choice

The opportunity cost of an extra hour of leisure is:

• A) $1.
• B) the hourly wage rate.
• C) the same as the price of money.
• D) always less than the value of the marginal product of labour.

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Definitions:

Quantity Demanded

The specific amount of a product that buyers are willing and able to purchase at a given price.

Inelastic

Characterized by a low responsiveness of quantity demanded or supplied when there is a price change, signifying that changes in price have minimal impact on consumers' purchasing behavior.

Price Elastic

Describes a situation where the demand or supply of a good or service is highly sensitive to changes in price.

Measures

Measures refer to quantitative tools or methods used for assessing, comparing, or tracking performance or progress.