Table 3-2

-Refer to Table 3-2. What is the opportunity cost of 1 kilogram of meat for the Farmer?
A)1/4 hour of labour.
B)4 hours of labour.
C)4 kilograms of potatoes.
D)1/4 kilogram of potatoes.

Question

Table 3-2
 
-Refer to Table 3-2. What is the opportunity cost of 1 kilogram of meat for the Farmer?
A)1/4 hour of labour. 
B)4 hours of labour. 
C)4 kilograms of potatoes. 
D)1/4 kilogram of potatoes.

Quizplus · Accepted Answer

According to Table 3-2, the Farmer can produce either 4 kilograms of potatoes or 1 kilogram of meat with 1 hour of labour. Therefore, the opportunity cost of 1 kilogram of meat for the Farmer is 4 kilograms of potatoes (since that's the alternative they would have to give up to produce 1 kilogram of meat). Thus, the best choice is option C, which correctly identifies the opportunity cost of 1 kilogram of meat for the Farmer.

Table 3-2 -Refer to Table 3-2. What Is the Opportunity Cost of the Opportunity