(Figure: Indifference Curves) What is the opportunity cost of cloth in terms of wheat in this example?
A) A unit of cloth may be obtained by foregoing a unit of wheat.
B) A unit of cloth "costs" 2 units of wheat.
C) A unit of cloth "costs" 1/2 unit of wheat.
D) Not enough information is given to answer.

Question

(Figure: Indifference Curves) What is the opportunity cost of cloth in terms of wheat in this example? 
A) A unit of cloth may be obtained by foregoing a unit of wheat. 
B) A unit of cloth "costs" 2 units of wheat. 
C) A unit of cloth "costs" 1/2 unit of wheat. 
D) Not enough information is given to answer.

Quizplus · Accepted Answer

The Answer of (Figure: Indifference Curves) What is the opportunity cost of cloth in terms of wheat in this example? 
A) A unit of cloth may be obtained by foregoing a unit of wheat. 
B) A unit of cloth "costs" 2 units of wheat. 
C) A unit of cloth "costs" 1/2 unit of wheat. 
D) Not enough information is given to answer.

(Figure: Indifference Curves) What Is the Opportunity Cost of Cloth