Solved

Is There an Opportunity Cost to Increased Investment in Capital

Question 11

Multiple Choice

Is there an opportunity cost to increased investment in capital goods today?


A) Yes,increased production of capital goods means fewer consumer goods today.
B) Yes,increased production of capital goods today means less economic growth in the future.
C) No,increased production of capital goods today does not mean fewer consumer goods today.
D) No,increased production of capital goods today guarantees more consumption today.
E) No,if society is producing at an efficient point on the production possibilities frontier (PPF) ,then there is no opportunity cost to investment in capital goods.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions