If the relative price of a lift ticket at a ski resort is two times the price of a meal at a good restaurant,what is the opportunity cost of a lift ticket
A)the slope of the budget constraint
B)the slope of the indifference curve
C)the intercept on the lift ticket axis
D)the intercept on the meal axis

Question

Quizplus · Accepted Answer

The opportunity cost of a lift ticket is represented by the slope of the budget constraint, which shows the trade-off between the lift ticket and meals. Since the lift ticket is twice the price of a meal, the slope reflects this relative price ratio.

If the Relative Price of a Lift Ticket at a Ski