Use the production possibilities data below to answer the following question(s).
Table 2-3

Refer to Table 2-3. The opportunity cost of 1 pound of meat for the farmer is
A) 1/4 hour of labor.
B) 4 hours of labor.
C) 4 pounds of potatoes.
D) 1/4 pound of potatoes.

Question

Use the production possibilities data below to answer the following question(s).
Table 2-3

Refer to Table 2-3. The opportunity cost of 1 pound of meat for the farmer is
A) 1/4 hour of labor. 
B) 4 hours of labor. 
C) 4 pounds of potatoes. 
D) 1/4 pound of potatoes.

Quizplus · Accepted Answer

To produce 1 pound of meat, the farmer has to give up producing 4 pounds of potatoes. Therefore, the opportunity cost of 1 pound of meat for the farmer is 4 pounds of potatoes.

Use the Production Possibilities Data Below to Answer the Following