Due to resource scarcity,- economic activities have opportunity costs generally lower than their market prices.- some economic activities have an opportunity cost.- all economic activities have an opportunity cost.- economic activities have opportunity costs equal to their market prices.

Due to resource scarcity, O economic activities have opportunity costs generally lower than their market prices. some economic activities have an opportunity cost. O all economic activities have an opportunity cost. O economic activities have opportunity costs equal to their market prices.

Due to resource scarcity, O economic activities have opportunity costs generally lower than their market prices. some economic activities have an opportunity cost. O all economic activities have an opportunity cost. O economic activities have opportunity costs equal to their market prices.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

Due to resource scarcity,

- economic activities have opportunity costs generally lower than their market prices.
- some economic activities have an opportunity cost.
- all economic activities have an opportunity cost.
- economic activities have opportunity costs equal to their market prices.

Expert Solution

Step 1

Option C

Resource scarcity means that all economic activities have a opportunity cost associated with it. This leads to trade off between two decisions. Scarcity occurs as human wants are unlimited but the resources to satisfy these wants are limited.

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