Scenario: Suppose a country produces only two goods: Good X and Good Y.
-Refer to the scenario above.The opportunity cost of producing Good Y equals ________.

Question

Quizplus · Accepted Answer

The opportunity cost of producing Good Y is the amount of Good X that must be given up to produce an additional unit of Good Y, which is calculated as the loss in Good X divided by the gain in Good Y.

Scenario: Suppose a Country Produces Only Two Goods: Good X