Question
Consider a consumer facing prices $6 for good 1 and $3 for good 2. Which statement is true? (A) The opportunity cost of 1 unit
Consider a consumer facing prices $6 for good 1 and $3 for good 2. Which statement is true?
(A) The opportunity cost of 1 unit of good 1 is 0.5 units of good 2, on the consumer's budget constraint.
(B) The opportunity cost of 1 unit of good 1 is 1 units of good 2, on the consumer's budget constraint.
(C) The opportunity cost of 1 unit of good 1 is 6 units of good 2, on the consumer's budget constraint.
(D) The opportunity cost of 1 unit of good 1 is 2 units of good 2, on the consumer's budget constraint.
(E) The opportunity cost of 1 unit of good 1 is 3 units of good 2, on the consumer's budget constraint.
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Cambridge International AS And A Level Economics Coursebook
Authors: Colin Bamford, Susan Grant
3rd Edition
1107679516, 978-1107679511
