Post Utme Veritas University 2021 Economics Question 29

Practice objective / multiple choice question 29 from the 2021 Post Utme Veritas University Economics examination.

Post Utme Veritas University 2021 Economics Objective / Multiple Choice
Question 29 POST_UTME_VERITAS_UNIVERSITY • 2021 • 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 used to produce 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 Veritas University 2021 Economics Question 29. It is one of the objective questions from the 2021 Post Utme Veritas University Economics examination.

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