Skip to content

Course home

Question bank·1.2 The basic economic problem
Sign up

1.2 The basic economic problem

EasyMediumHard
123456789101112
Question 5

A council can fund either a flood barrier costing £8 million or two clinics costing £4 million each. It funds the barrier. Which statement is correct?

[1]
A

The opportunity cost is £8 million because every cost is an opportunity cost

B

There is no opportunity cost because both choices cost the same

C

The opportunity cost is one clinic because only one alternative can be forgone

D

The opportunity cost is the benefit the two clinics would have provided

Markscheme

1.2 The basic economic problem Questions

  1. GCSE
  2. /Economics
  3. /1.2 The basic economic problem

77 exam-style questions on OCR GCSE Economics 1.2 The basic economic problem, covering 1.2.1 Scarce resources and unlimited wants, 1.2.2 The economic problem, 1.2.3 Opportunity cost, and 1.2.4 Costs and benefits of economic choices. Each one has a worked solution and a mark scheme showing where the marks go.

More questions