On a graph we draw a consumer's budget constraint, measuring the number of pineapples on the horizontal axis and the number of pencils on the vertical axis. If the slope of the budget constraint is -6, then
a. a pineapple costs six times as much as a pencil.
b. the opportunity cost of a pineapple is 6 pencils.
c. the opportunity cost of a pencil is one-sixth of a pineapple.
d. All of the above are correct.
d
You might also like to view...
Suppose Firm A and Firm B are considering whether to invest in a new production technology. For each firm, the payoff to investing (given in thousands of dollars per day) depends upon whether the other firm invests, as shown in the payoff matrix below. 
Is this game a prisoner's dilemma?
A. No. B. Yes. C. It cannot be determined. D. Only when both Firm A and Firm B invest.
When a monopolist engages in perfect price discrimination,
A) the marginal revenue curve lies below the demand curve. B) the demand curve and the marginal revenue curve are identical. C) marginal cost becomes zero. D) the marginal revenue curve becomes horizontal.
The theory of regulatory behavior that predicts that the "regulators" eventually will become controlled by the "regulated" is called
A) the capture hypothesis. B) the the share-the-gains, share-the-pains hypothesis. C) the asymmetric information hypothesis. D) the market failure hypothesis.
Which of the following has resulted from the North American Free Trade Agreement (NAFTA)?
a. trade between the United States and Mexico increased. b. trade between the United States and Canada increased. c. the joint output of the United States, Mexico, and Canada has increased. d. all of the above are correct.