Why does the law of increasing opportunity cost occur?

a. Some resources are better suited for some tasks than others.

b. As opportunity cost increases, production increases.

c. The marginal market price of goods rises as more is produced.

d. As opportunity cost increases, production decreases.

Question

Business

Krish Abbott

28 December, 11:07

Why does the law of increasing opportunity cost occur?

a. Some resources are better suited for some tasks than others.

b. As opportunity cost increases, production increases.

c. The marginal market price of goods rises as more is produced.

d. As opportunity cost increases, production decreases.

+2

Answers (1)

Know the Answer?

Haas · Answer 1

The correct answer is A and B

Explanation:

Law of increasing the opportunity cost is the principle or the concept which is defined as the company continue to increase the production of one good, the opportunity cost of producing the next unit will increase.

It is as to reallocate the resources in order to produce that one good which was better or best suited to produce the original good.

The law of opportunity cost occur when some of the resources are best suited for some tasks or products instead of others and it will lead to increase in production with increase in the opportunity cost too.

Why does the law of increasing opportunity cost occur?a. Some resources are better suited for some tasks than others.b. As opportunity cost increases, production increases.c. The marginal market price of goods rises as more is produced.d. As opportunity cost increases, production decreases.

Why does the law of increasing opportunity cost occur?

a. Some resources are better suited for some tasks than others.

b. As opportunity cost increases, production increases.

c. The marginal market price of goods rises as more is produced.

d. As opportunity cost increases, production decreases.