Opportunity costs exist because _____

Name: Opportunity costs exist because _____
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Question

Quizplus · Accepted Answer

Opportunity costs exist because resources are scarce but wants are unlimited. This means that in order to produce one good or service, resources must be taken away from producing another good or service. The value of that lost opportunity is the opportunity cost. Therefore, opportunity costs are a fundamental concept in economics due to the scarcity of resources.

Opportunity Costs Exist Because _____