Liza needs to buy a textbook for next economic class. The price at the collage bookstore is $65. One website offers it for $55, and another site for $57. All prices include sales tax. The accompanying table indicates the typical shipping and handling charges for the textbook orders online. What is the opportunity cost of buying the economic book online instead of at the bookstore and showing the relevant choices for this student? Introduction: Opportunity Cost: The opportunity cost is defined as the next best activity forgone, that is if you want to gain something you need to forgone something at the same time for an example of a nation have to produce more capital goods instead of consumer goods we have to divert more resources for producing capital goods, so there is an opportunity cost for producing more capital goods instead of consumer goods.

Question

Which of the following graphs best represents the production possibility frontier of Country Y (Line Y), the production possibility frontier of Country Z (Line Z), and the production possibility frontier of this whole economy (Line W)? (Hint: Find W by adding the productive capabilities of Country Y and Z) Group of answer choices

Answer 1

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Chapter 1, Problem 3P

To determine

Liza needs to buy a textbook for next economic class. The price at the collage bookstore is $65. One website offers it for $55, and another site for $57. All prices include sales tax. The accompanying table indicates the typical shipping and handling charges for the textbook orders online.

What is the opportunity cost of buying the economic book online instead of at the bookstore and showing the relevant choices for this student?

Introduction:

Opportunity Cost: The opportunity cost is defined as the next best activity forgone, that is if you want to gain something you need to forgone something at the same time for an example of a nation have to produce more capital goods instead of consumer goods we have to divert more resources for producing capital goods, so there is an opportunity cost for producing more capital goods instead of consumer goods.

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