Table 2.5

Table 2.5 shows the output per month of two people, Fred and Barney. They can either devote their time to making pogo sticks or making unicycles.
-Refer to Table 2.5. What is Barney's opportunity cost of making a pogo stick?
A)1/2 unicycle
B)2 unicycles
C)1/3 unicycle
D)1.4 pogo sticks

Question

Table 2.5
  
Table 2.5 shows the output per month of two people, Fred and Barney. They can either devote their time to making pogo sticks or making unicycles.
-Refer to Table 2.5. What is Barney's opportunity cost of making a pogo stick?
A)1/2 unicycle 
B)2 unicycles 
C)1/3 unicycle 
D)1.4 pogo sticks

Quizplus · Accepted Answer

Barney's opportunity cost of making a pogo stick is the amount of unicycles he could have made instead. If the opportunity cost is 1/2 unicycle, it means for every pogo stick made, Barney forgoes making half a unicycle.

Table 2.5 Table 2.5 Shows the Output Per Month of Two People