Question

Which best describes how specialized producers decrease their opportunity costs?

Answer 1

"By limiting the types of goods produced" best describes how specialized producers decrease their opportunity costs.

Option: D

Explanation:

Opportunity costs reflect the advantages that a person, investor or company loses when selecting an alternative over another option.By restricting the types of products manufactured by specialist producers their opportunity costs can be reduced. It is important to remember that a supplier with a competitive advantage can deliver a product or service at a lower cost of production than any competitor can. The root of increasing cost of opportunity lies with the abundance of capital. Opportunity costs increase as demand increases, while output decreases as demand decreases.

Answer 2

Answer:

d

Step-by-step explanation: