The law of increasing costs is best defined as

The Clinton School Board decides to build a new performing arts center for CHS. What is the opportunity cost of the performing arts center?

Any other good or service that cannot be provided now due to resources being used for the new performing arts center.

Deirdre has one free hour to practice the piano for an upcoming school concert or work at the library for $7 per hour or babysit her neighbor's 12-year-old son for $10 per hour. She chooses to practice the piano. What is Deirdre's opportunity cost?

Either $7 from working at the library or $10 for babysitting.

Which of the following is NOT a factor of production used in the football industry?

Seattle Seahawks fans

Why are goods and services scarce?

They are made from resources that are limited in supply.

Using resources in such as way as to maximize production of goods & services defines

efficiency

Entrepreneurs are people who

organize land, labor & capital for production

An expression of value in dollars and cents

price

The purpose of a production possibilities curve is to

show different ways a country can allocate its scarce resources

If Karen gets up early and studies three hours for her test she is likely to get an A. If she sleeps in she will probably get a C. What is the opportunity cost of sleeping in?

studying

As a rule, one should purchase a good or engage in an activity if

the marginal benefit is greater than the marginal cost

The most important cost of any decision is

the opportunity cost

Using the factors of production to make one particular product always means that

those resources cannot be used to make something else