Suppose Karl divides his time between making birdhouses and growing artichokes. Karl's friend recently gave Karl some new woodworking tools that greatly reduced the amount of time it takes Karl to make each birdhouse, but the new tools had no impact on the amount of time it takes Karl to grow artichokes. Thus, the new tools ________ Karl's opportunity cost of growing artichokes.

Question

Quizplus · Accepted Answer

Even though the new tools do not impact Karl's ability to grow artichokes, since Karl is faster at making birdhouses with the new tools, he gives up on making more of them when he spends time growing artichokes.

Suppose Karl Divides His Time Between Making Birdhouses and Growing