Which of the following countries exemplifies the concept of opportunity cost?
A) An African country that produces electronic goods on a large scale without compromising on any other produce
B) A South American country that expands its trade relations to neighboring countries
C) A European country that produces more cotton than a North American country despite having equal resources
D) An Asian country that increases its production of sugar by decreasing its production of cocoa

Question

Quizplus · Accepted Answer

Opportunity cost refers to the loss of potential gain from other alternatives when one alternative is chosen. In this case, the Asian country increases sugar production at the expense of cocoa production, illustrating the trade-off and opportunity cost concept.

Which of the Following Countries Exemplifies the Concept of Opportunity