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rodikova [14]
3 years ago
15

How do businesses use opportunity costs to decide what to produce?

History
1 answer:
Gennadij [26K]3 years ago
8 0

Answer:

The PPF illustrates that opportunity costs exist when deciding what quantity of goods and services to produce in order to maximize efficiency and production capacity.

Explanation:

Companies use opportunity costs in production to make smart decisions by weighing the sacrifices of choosing one alternative over another.

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Let's define our term first. According to the Merriam-Webster Dictionary, a strict constructionist is "one who favors giving a narrow conservative construction of a given document or instrument, specifically one who favors a strict construction of the Constitution of the United States." In other words, a strict constructionist of the Constitution believes in interpreting it exactly as it is written.

In the case of the Louisiana Purchase in 1803, the French offered the United States the entire Louisiana Territory of over 800,000 acres, which would double the size of the country, for the ridiculously low price of $15 million. Although he was eager to close the deal, Jefferson believed that the Constitution should be interpreted strictly and literally, and there was no provision in it regarding the federal acquisition of foreign land.

For this reason, Jefferson wanted to add a constitutional amendment before authorizing the purchase. However, Jefferson's cabinet and Congress disagreed.

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The second bomb was dropped in Nagasaki on August 9, 1945 before Emperor Hirohito announced the surrender of Japan to the Allies on August 15, 1945 and Japan's surrender was formally signed on September 2, 1945 giving in to the terms stated in the Potsdam Declaration for ending World War II.
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