The increasing cost in the law of increasing cost is a(n)____________ cost.
A)average
B)fixed
C)opportunity
D)declining

Question

Quizplus · Accepted Answer

The law of increasing cost states that as the production of one good increases, the opportunity cost in terms of producing the second good increases as well. This means that the opportunity cost is increasing, making it a type of cost. The other options listed (average, fixed, and declining) do not accurately describe the concept of increasing cost.

The Increasing Cost in the Law of Increasing Cost Is