For society as a whole,producing more of one good or service has an opportunity cost because
A) human wants are limited and resources are unlimited
B) both human wants and resources are unlimited
C) resources are limited;human wants are irrelevant
D) human wants are unlimited and resources are limited
E) both human wants and resources are limited

Question

Quizplus · Accepted Answer

The statement implies that producing more of one good or service has an opportunity cost, which means that to produce more of that good or service, some resources must be diverted from producing other goods or services. This means that resources are limited, but human wants are unlimited. Therefore, the best choice is D, which states that human wants are unlimited, and resources are limited.

For Society as a Whole,producing More of One Good or Service