When a provincial government chooses to build more roads, the required resources are no longer available for spending on public education.This dilemma illustrates the concept of:
A)marginal analysis.
B)full employment.
C)full production.
D)opportunity cost.

Question

Quizplus · Accepted Answer

The dilemma presented in the scenario is a clear example of opportunity cost. Opportunity cost refers to the loss of potential gain from other alternatives when one alternative is chosen. In this case, the opportunity cost of building more roads is the loss of resources that could have been spent on public education. Therefore, the best answer is D.

When a Provincial Government Chooses to Build More Roads, the Required