-The table above shows the production possibilities for an economy.The opportunity cost of a loaf of bread is ________ when moving from possibility B to possibility C.
A)1/2 of a book
B)100 loaves of bread
C)200 books
D)2 books
E)1 loaf of bread

Question

-The table above shows the production possibilities for an economy.The opportunity cost of a loaf of bread is ________ when moving from possibility B to possibility C.
A)1/2 of a book 
B)100 loaves of bread 
C)200 books 
D)2 books 
E)1 loaf of bread

Quizplus · Accepted Answer

The opportunity cost of moving from possibility B to C is the number of books forgone to produce additional loaves of bread. If moving from B to C results in 100 more loaves of bread and 200 fewer books, the opportunity cost per loaf of bread is 200 books / 100 loaves = 2 books per loaf.

-The Table Above Shows the Production Possibilities for an Economy