Table 2-7
Table 2-7 shows the output per month of two people, Fred and Barney. They can either devote their time to making pogo sticks or making unicycles.
-Refer to Table 2-7.What is Barney's opportunity cost of making a pogo stick?

Question

Table 2-7
  Table 2-7 shows the output per month of two people, Fred and Barney. They can either devote their time to making pogo sticks or making unicycles.
-Refer to Table 2-7.What is Barney's opportunity cost of making a pogo stick?

Quizplus · Accepted Answer

The opportunity cost of making a pogo stick is the amount of unicycles Barney forgoes. If Barney can make 2 pogo sticks for every unicycle, then the opportunity cost of one pogo stick is 1/2 unicycle.

Table 2-7 Table 2-7 Shows the Output Per Month of Month