Use the figure below to answer the following questions.
Figure 2.2.1
-In Figure 2.2.1, the curve labelled B shows
A)the number of scooters that people must forgo to obtain another bicycle.
B)that the benefit from producing more bicycles is greater than the benefit from producing more scooters.
C)the number of bicycles that people are willing to forgo to obtain another scooter.
D)that the benefit from producing more scooters is greater than the benefit from producing more bicycles.
E)the number of scooters that people are willing to forgo to obtain another bicycle.

Question

Use the figure below to answer the following questions.
  Figure 2.2.1
-In Figure 2.2.1, the curve labelled B shows
A)the number of scooters that people must forgo to obtain another bicycle. 
B)that the benefit from producing more bicycles is greater than the benefit from producing more scooters. 
C)the number of bicycles that people are willing to forgo to obtain another scooter. 
D)that the benefit from producing more scooters is greater than the benefit from producing more bicycles. 
E)the number of scooters that people are willing to forgo to obtain another bicycle.

Quizplus · Accepted Answer

Curve B shows the number of scooters that people are willing to forgo to obtain another bicycle, indicating the trade-off between the two goods. As the quantity of bicycles produced increases, the marginal benefit of each additional bicycle decreases while the marginal cost increases, resulting in a higher opportunity cost of producing more bicycles in terms of forgone scooter production. Therefore, curve B is downward sloping, showing that as the quantity of bicycles increases, the number of scooters that must be given up (the opportunity cost) to obtain another bicycle also increases.

Use the Figure Below to Answer the Following Questions