All inputs in a business are equally productive at all activities. As the business increases its output, marginal opportunity cost

Name: All inputs in a business are equally productive at all activities. As the business increases its output, marginal opportunity cost
Brand: Quizplus
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Question

Quizplus · Accepted Answer

The assumption in the statement that all inputs are equally productive at all activities implies constant marginal opportunity cost. Therefore, the correct choice is B, which states that the marginal opportunity cost is constant.

All Inputs in a Business Are Equally Productive at All