Use the figure below to answer the following questions.
Table 2.3.1
The planets of Vulcan and Romulus each produce goods X and Y.
The following table gives points on their production possibilities frontiers.
-Refer to Table 2.3.1.For Vulcan, the opportunity cost of producing an additional unit of Y is
A)1/2 units of X.
B)3 units of X.
C)2/3 units of X.
D)4 units of X.
E)2 units of X.

Question

Use the figure below to answer the following questions.
Table 2.3.1
The planets of Vulcan and Romulus each produce goods X and Y.
The following table gives points on their production possibilities frontiers. 
-Refer to Table 2.3.1.For Vulcan, the opportunity cost of producing an additional unit of Y is
A)1/2 units of X. 
B)3 units of X. 
C)2/3 units of X. 
D)4 units of X. 
E)2 units of X.

Quizplus · Accepted Answer

The opportunity cost of producing an additional unit of Y is the amount of X that must be given up to produce that unit of Y. In this case, the opportunity cost is 1/2 units of X, as shown in the table.

Use the Figure Below to Answer the Following Questions