Post Utme Skyline University 2023 Economics Question 21

Practice objective / multiple choice question 21 from the 2023 Post Utme Skyline University Economics examination.

Post Utme Skyline University 2023 Economics Objective / Multiple Choice
Question 21 POST_UTME_SKYLINE_UNIVERSITY • 2023 • ECONOMICS • objective

The concept of scarcity in economics implies that the production of one good is limited by the availability of resources, which can be allocated to other goods. This is an example of a trade-off between two goods. Which of the following is a correct statement about the opportunity \cost of producing one good?

Answer Options

Correct Answer A. The opportunity \cost is the value of the next best alternative good that could have been produced with the same resources.
B. The opportunity \cost is the value of the good that is given up when producing another good.
C. The opportunity \cost is the value of the good that is produced in excess of the demand.
D. The opportunity \cost is the value of the good that is not produced at all.
Correct Answer
A
Correct Option:
The opportunity \cost is the value of the next best alternative good that could have been produced with the same resources.

About This Question

This is Post Utme Skyline University 2023 Economics Question 21. It is one of the objective questions from the 2023 Post Utme Skyline University Economics examination.

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