Economics 2281 · O Level · Opportunity cost

Opportunity cost — practice question

A farmer transfers land previously used for crops to a company that intends to use that land for wind turbines to generate electric power. What is the opportunity cost of this choice made by the farmer?

  • Athe cost of installing wind turbines
  • Bthe loss of revenue from crops that grow on the land
  • Cthe profit made from selling the land
  • Dthe reduced cost of producing renewable energy

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