Increasing marginal opportunity cost implies that
A) that rising opportunity costs makes it inefficient to produce beyond a certain quantity.
B) the law of scarcity.
C) the more resources already devoted to any activity, the benefits from allocating yet more resources to that activity decreases by progressively larger amounts.
D) the more resources already devoted to any activity, the payoff from allocating yet more resources to that activity increases by progressively smaller amounts.
D
You might also like to view...
The basic idea behind moral hazard is that ________
A) some economic transactions impose an additional cost on society B) some economic transactions give rise to an additional benefit to society C) people tend to take more risks if they do not have to bear the costs of their behavior D) people do not reveal their true preference for goods that are non-excludable in consumption
According to the Ricardo-Barro effect
A) the government budget has no effect on the real interest rate. B) a government budget deficit crowds out private investment. C) financing government spending with taxes has a smaller effect on private investment than financing through government borrowing. D) None of the above answers are correct.
Which of the following occurs when a market is in equilibrium?
A) quantity supplied is equal to quantity demanded B) supply is equal to demand. C) the price of the good will tend to rise, all else held constant. D) the price of the good will tend to fall, all else held constant.
Poverty is most likely to decrease when
A. Population increases regardless of what happens to economic growth. B. Economic growth exceeds population growth. C. Population growth exceeds economic growth. D. GDP increases regardless of what happens to population growth.