Which of the following does a production possibilities schedule best illustrate?
A)The concept of achieving an impossible goal
B)The concept of unlimited possibilities
C)The concept of an opportunity cost
D)The elimination of scarcity
E)The concept of a good

Question

Quizplus · Accepted Answer

A production possibilities schedule illustrates the concept of opportunity cost, which refers to the trade-offs that must be made when choosing between two goods or services that cannot both be produced with the same set of resources. The schedule shows the various combinations of the two goods that can be produced with a given amount of resources and highlights the fact that producing more of one good requires sacrificing some amount of the other good.

Which of the Following Does a Production Possibilities Schedule Best