Exhibit 11.8

-Refer to Exhibit 11.8,which shows the demand and supply curves of a resource.The opportunity cost of the resource in equilibrium is represented by area _____
A)odeh.
B)gfeh.
C)dcf.
D)bed.
E)bed + odeh.

Question

Exhibit 11.8
 
-Refer to Exhibit 11.8,which shows the demand and supply curves of a resource.The opportunity cost of the resource in equilibrium is represented by area _____
A)odeh. 
B)gfeh. 
C)dcf. 
D)bed. 
E)bed + odeh.

Quizplus · Accepted Answer

In equilibrium, the opportunity cost of the resource is represented by the area under the supply curve up to the equilibrium quantity, which is area odeh.

Exhibit 11.8 -Refer to Exhibit 11.8,which Shows the Demand and Supply Curves