-Points A,B,C,D,and E show:
A)that the opportunity cost of bicycles increases while that of computers is constant
B)combinations of bicycles and computers that a society can produce by fully employing its resources
C)that the opportunity cost of computers increases while that of bicycles is constant
D)that the demand for computers is greater than the demand for bicycles
E)that the opportunity cost of both bicycles and computers are constant

Question

-Points A,B,C,D,and E show:
A)that the opportunity cost of bicycles increases while that of computers is constant 
B)combinations of bicycles and computers that a society can produce by fully employing its resources 
C)that the opportunity cost of computers increases while that of bicycles is constant 
D)that the demand for computers is greater than the demand for bicycles 
E)that the opportunity cost of both bicycles and computers are constant

Quizplus · Accepted Answer

Points A, B, C, D, and E typically represent different combinations of two goods (in this case, bicycles and computers) that a society can produce with a given set of resources and technology, assuming full employment of resources. This is a fundamental concept in economics related to the production possibilities frontier (PPF), which illustrates the trade-offs in production between two goods.

-Points A,B,C,D,and E Show