Is marginal rate of substitution same as opportunity cost?

MRS, used in context of consumption, is a specific quantitative measure which equalizes the benefit of the consumption of 2 different goods at any given level. The key difference is that MRS is necessarily a representation of equality whereas opportunity cost is not.

Is MRT and opportunity cost the same?

The MRT is the rate at which a small amount of Y can be foregone for a small amount of X. The rate is the opportunity cost of a unit of each good in terms of another. For perfect substitute goods, the MRT will equal one and remain constant.

What is the difference between MOC and MRT?

Answer: MRT is the ratio of loss of output y to gain output x interms of unit and MOC is the ratio of unit sacrifice to gain additional unit of another good in terms of money.

How opportunity cost and MRT related to each other explain the concept of opportunity cost and MRT using a PPC?

Opportunity Cost refers to the quantity of one good foregone to obtain more quantity of the other good. MRT means quantity of one good sacrificed to produce an additional unit of the other good. For example, When we move from combination B to C the MRT is 4Y: 1X. MRT increase as to produce more of good X.

What is the difference between marginal rate of substitution and marginal rate of technical substitution?

While the marginal rate of substitution tells us the rate at which a consumer is willing to replace one product with another, the marginal rate of technical substitution tells us the rate at which a producer is willing to switch one input (i.e. factor of production) with another.

Is opportunity cost a marginal cost?

The marginal cost of a good or service is the opportunity cost of producing one more unit of it.

How does opportunity cost affect MOC?

MOC ( Marginal Opportunity Cost ) refers to the number of units of a commodity sacrificed to gain one additional unit of another commodity. For example if an economy produces two goods A and B. A person employed in production of A because he is able and efficient to produce that good.