Post Utme Ui 2017 Economics Question 40

Practice objective / multiple choice question 40 from the 2017 Post Utme Ui Economics examination.

Post Utme Ui 2017 Economics Objective / Multiple Choice
Question 40 POST_UTME_UI • 2017 • 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 produce other goods. This leads to a trade-off between the production of different goods. Which of the following is a correct statement regarding 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 produced at a lower \cost than the next best alternative good.
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 Ui 2017 Economics Question 40. It is one of the objective questions from the 2017 Post Utme Ui Economics examination.

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