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Resources can be said to be scarce in both an absolute and a relative sense: the surface of the earth is finite, imposing absolute scarcity; but the scarcity that concerns economists is the relative scarcity of resources in different uses. Materials used for one purpose cannot at the same time be used for other purposes; if the quantity of an input is limited, the increased use of it in one manufacturing process must cause it to become less available for other uses.
The cost of a product in terms of money may not measure its true cost to society. The true cost of, say, the construction of a supersonic jet is the value of the schools and refrigerators that will never be built as a result. Every act of production uses up some of society’s available resources; it means the foregoing of an opportunity to produce something else. In deciding how to use resources most effectively to satisfy the wants of the community, this opportunity cost must be taken into account. In a market economy the price of a goods and the quantity supplied depends on the cost of making it, and the cost, ultimately, is the cost of not making other goods. The market mechanism enforces this relationship. The cost of, say, a pair of shoes is the price of the leather, the fuel, and other elements used up in producing them. But the price of these inputs, in turn, depends on what they can produce elsewhere—if the leather can be used to produce handbags that are valued highly by consumers, the price of leather will be bid up correspondingly.
1. According to the passage, what are the opportunity costs of an item?

2. What is the relationship between production and resources?

3. What determines the price of a goods in a market economy?

4. Which of the following statements is true according to the passage?

5. What are economists concerned about with regard to resources?

问题1选项
A.The price of the material, labor and other elements consumed in manufacturing it.
B.The amount of time and money spent in producing it.
C.The value of all the resources used in its production.
D.The value of what could have been produced instead.
问题2选项
A.Production reduces the amount of available resources.
B.Production has nothing to do with resources.
C.Production increases as resources increase.
D.Production is stimulated by available resources.
问题3选项
A.The cost of all elements involved in production.
B.The quantity of materials supplied.
C.The efficiency of the manufacturing process.
D.The cost of labor.
问题4选项
A.The cost of a product reflects its usefulness in society.
B.The cost of a product depends on its quality.
C.The price of a product reflects its usefulness in society.
D.The price of a product reflects its opportunity costs.
问题5选项
A.How to tap natural resources.
B.How to cope with absolute scarcity of resources.
C.How to use available resources appropriately.
D.How to convert absolute scarcity of resources into relative one.
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