Multiple Choice
Table 1.1 shows the hypothetical trade-off between different combinations of Stealth bombers and B-1 bombers that might be produced in a year with the limited U.S.capacity,ceteris paribus.Complete the table by calculating the required opportunity costs for both the B-1 and Stealth bombers.
Table 1.1
Production Possibilities for Bombers On the basis of your calculations in Table 1.1,you may infer that the law of increasing opportunity costs applies to
A) Stealth bombers but not to B-1 bombers.
B) B-1 bombers but not to Stealth bombers.
C) Both B-1 bombers and Stealth bombers.
D) Neither B-1 bombers nor Stealth bombers.
Correct Answer:
Verified
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