Question
Which phrase best defines the term “opportunity cost”?
1 what a country produces when it specializes in a good or service
2 what a country gives up when it chooses to produce a good or service
3 what a country gains when it chooses to produce a good or service
4 what a country invests in a particular good or service
1 what a country produces when it specializes in a good or service
2 what a country gives up when it chooses to produce a good or service
3 what a country gains when it chooses to produce a good or service
4 what a country invests in a particular good or service
Asked by: USER5637
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343 Answers
Answer (343)
2. What a country gives up when it chooses to produce a good or service
The best definition of opportunity cost in the options is 2 what a country gives up when it chooses to produce a good or service.
What is Opportunity Cost?
- It refers to the next best alternative to a decision made.
- It arises as a result of scarcity of resources.
The country in question decided to produce a certain good or service. The resources it gave up to do so are the next best alternative and so refers to opportunity cost.
In conclusion, option 2 is correct.
Find out more on opportunity costs at https://brainly.com/question/10321345.