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ad-work [718]
3 years ago
12

A country has two main products: hats and grapes. The country decides to start making more and more hats and fewer and fewer gra

pes. Why does the opportunity cost of making hats increase as more and more hats are produced?
Business
1 answer:
Dmitriy789 [7]3 years ago
8 0

Answer:

Because as more hats are produced less grapes can be produced.

Opportunity cost is the cost of the next best option forgone when one alternative is chosen over other alternatives.

There are two commodities that can be produced by the country- hats and grapes.

If the country decides to increase production of hats, it has to reduce the quantity of hats that can be produced, therefore the opportunity cost increases.

Explanation:

For example, let assume a country can produce 30 grapes and 30 hats. If it decides to increase the amount of hats produced to 40, only 20 grapes can be produced. If it decides to increase to 50 hats only 10 grapes would be produced and if it decides to produce 60 hats, no grapes would be produced.

It can be seen that opportunity cost increases as more hats are produced

I hope my answer helps you

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Answer:

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In developing and making plans, an individual considers the current and expected future income, present and expected expenditures such as medical health insurance expenses and school fees. An individual may opt to engage the services of a personal finance manager who advances on the savings and investments required to achieve the intended goals. Financial Planning Planning assists one prepare for the future.

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3 0
1 year ago
__________ is a market failure that the government might seek to change through intervention
hammer [34]

Answer: A positive externality, negative externality and asymmetric information

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A market failure is one of the type of economical situation in which the  the various types of products and the services are distributions in an inefficient manner.

A positive externality, negative externality and an asymmetric information are the market failure that the government wants to change by the process of intervention

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Juanita is deciding whether to buy a dress that she wants, as well as where to buy it. Three stores carry the same dress, but it
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Azule Co. manufactures in two sequential processes, cutting and binding. The two departments report the information below for a
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Answer and Explanation:

The computation of the ending balance in the work in process inventory for each department is shown below:

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