Exhibit 2-12 Maria and Hans Production Possibilities for Laundry and Typing According to Exhibit 2-12, Hans' opportunity cost of doing a load of laundry is

Question

Exhibit 2-12 Maria and Hans Production Possibilities for Laundry and Typing  According to Exhibit 2-12, Hans' opportunity cost of doing a load of laundry is

Quizplus · Accepted Answer

To find the opportunity cost, we look at the next best alternative foregone. For Hans, if he decides to do a load of laundry, he gives up the opportunity to type 1 1/2 pages. Therefore, his opportunity cost of doing a load of laundry is 1 1/2 pages.