Answer to Question #147342 in Microeconomics for SADIA

Question

In the past 50 years, the frozen food industry in the U.S has grown from $1billion to $27 billion. Discuss the role of opportunity cost in our lives with regards to this huge growth in the frozen food market in the U.S? (3 marks)

Answer 1

The opportunity cost in production of frozen food is lower, because this kind of food has longer term of storage, so the total cost of production and selling price of such food will be lower. As a result this factor boosted the huge growth in the frozen food market in the U.S.