A person rents a house for $24,000 per year. The house can be purchased for $200,000, and the tenant has this much money in a bank account that pays 4 percent interest per year. Is buying the house a good deal for the tenant? Where does opportunity cost enter the picture?

Q: In some countries the government makes most of the decisions about what will be produced, how it…

A: We have limited resources, but unlimited wants. Everyone wants more house, more water, more…

Q: Condition that arises because society does not have enough resources to produce all the things…

A: There are mainly three economic problems dealt by each nation. These problems are stated below: a)…

Q: You have just woken up and are deciding whether to sleep for one more hour or not. If you don’t go…

A: Oppurtunity cost is defined as the cost incurred by any individual when benefits associated with the…

Q: In a Capitalistic economy, due to the "mixed market" and economic freedoms that are a part of this…

A: Kinds of economic systems regulate economic choices in various nations. They utilize different…

Q: What does the Powerbar model tell us about how creativity fits into a market economy?

A: Ans-    Market power model means a broader market which existing rebranding bar.  It is constant…

Q: Will giving children/students money help improve their interest in Economics and increase their…

A: When talking about the study of economics and finance, it can be said that a student learns a…

Q: How do people make decisions, according to economic assumptions? a. They allow others to make…

A: "Economics is the study of use of scarce resources." The scarce resources include land, labor,…

Q: How does the concept of opportunity cost apply to personal decisions when you have limited income…

A: Opportunity Cost : The opportunity cost is referred as a forgone benefit that would have been…

Q: You have just woken up and are deciding whether to sleep for one more hour or not. If you don’t go…

A: Oppurtunity cost is defined as the cost incurred by any individual when benefits associated with the…

Q: You have just woken up and are deciding whether to sleep for one more hour or not. If you don't go…

A: Opportunity cost refers to the value of next best alternative use of given resources.

Q: You have been going to school and working 10 hours a week. The school offers you a scholarship worth…

A: 1)Opportunity cost in time-10 hours In money 10*10=100 per week. 2)I would choose quarter because…

Q: What does the law of increasing opportunity cost state?

A: Law of Increasing opportunity cost staes that when the production of a particular product is…

Q: Although attending college is expensive, time-consuming, and requires effort, but people decide to…

A: According to the ration consumer theory, when the marginal benefit (MB) gained from consuming…

Q: How do you evaluate your opportunity cost in terms of the alternative decisions that you have to…

A: Oportunity cost is the following best elective which we have renounced because of purpose of present…

Q: You can either spend spring break working at home for $80 per day or go to Florida for the week.  If…

A: Opportunity Cost is the cost of next best alternative. Opportunity Cost is when in making a decision…

Q: What are the decisions that people have usually made that incurred opportunity costs?

A: The opportunity cost of a specific activity option in microeconomic theory is the loss of value or…

Q: Like a good economist, you calculated the opportunity cost of getting your college degree. Suppose…

A: Opportunity cost is the cost which the person has to bear because of making a choice.  It includes…

Q: Positive or Normative?

A: Unemployment benefits are the benefits that the government provides to eligible unemployed people.

Q: A popular bakery has only a few ingredients left to make their products. They could bake muffins or…

A: Meaning of Microeconomics: The term macroeconomics refers to that situation under which the economic…

Q: The presence of scarcity means that no choices come without

A: Trade-offs or a trade-off is a situation in which a person has to take a decision that involves…

Q: If your tuition is $5,000 this semester, your books cost $600, you can only work 20 rather than 40…

A: Opportunity cost refers to the best given up values among the alternate in the process of gaining…

Q: (Opportunity Cost) You can spend spring break either working at home for $80 per day for five days…

A: When it comes to evaluating a company's capital structure, opportunity cost analysis is vital. In…

Q: Identify the types of opportunity cost that people often undervalue,and explain why undervaluing…

A: Opportunity cost is equal to the value of the next best alternative foregone. In other words, the…

Q: Why should the economic decision be based on the objective of making the best use of limited…

A: Economic decisions are the decisions by economic agents in order to sort out problems related to…

Q: Maria has just paid down on a small apartment for which the mortgage is $2200 per month. Before she…

A: Opportunity cost is the cost of next best alternative forgone. It is the cost of the alternative…

Q: If Bruce pays $2000 in tuition fees to the college, what does his opportunity cost?     $2000…

A: Opportunity cost is the value of something that must forgo to acquire something else. Thus, the…

Q: Identify a recent purchase that you made, recently, and determine how scarcity influenced your…

A: Scarcity refers to the finite existence of a resource, or commodity. Humans need a number of goods…

Q: Elaborate on your opportunity costs, if you decide to stop studying now and start working.

A: Opportunity cost is the next best alternative foregone.

Q: Give an example to illustrate how a change in opportunity cost can affect behavior.

A: Opportunity cost refers to the given up benefit during the process of gains some other benefit. For…

Q: What is the opportunity cost of going to university? the total spent on food, clothing, books,…

A: The Opportunity Cost(OC)shows the possible benefits an individual, firm, or investor misses out on…

Q: What is “Opportunity Cost”? You win $1000 in a basketball pool. You have a choice between spending…

A: Opportunity cost is the value of anything when a new course of action is selected. Simply put to get…

Q: The main economic difference between a utopia and the real world is that in a utopia, there is no…

A: The economy is the set of different activities in which economic production and consumption are…

Q: You can spend spring break either at home working for $80 per day for five days or go to Florida for…

A: Opportunity cost refers to the value of the best alternative forgone when one chooses an item or…

Q: Give two examples of opportunity one can face today

A: Opportunity cost is the cost of next alternative forgone while making decision, i.e. it is the loss…

Q: Incentives and opportunity costs. Why do we do the things we do, and how do opportunity costs show…

A: The concept of scarcity is used to explain the existence of opportunity cost in economics. In the…

Q: Moral background of natural economics?

A: Economics studies the way a society chooses to use its limited resources, which have alternate uses,…

Q: If your tuition is $25,000 this semester, your books cost $1,500, you can only work 20 rather than…

A: Opportunity cost is the cost of all the benefits from one decision that are forgone for some…

Q: describe an important trade-off that you recently faced and give an example of some action that has…

A: Trade-off refers to the situation where some amount of goods should be given up in order to gain…

Q: Polanyi criticised formal definition of economics, a)because it only takes into account capitalist…

A: Polanyi believes in historical economics.

Q: True/False A change in opportunity costs would probably change a persons behavior

A: # Opportunity cost is referred to be as the cost of the next best alternative foregone. The concept…

Q: The opportunity cost of working is __ Select one: a. the wage you earn for the time spent working.…

A: d. what you would have done during the time if you were not working.

Q: What is a trade off? How does economics decide on what must be produced? What is an opportunity…

A: Answer: What is a trade-off? Trade-off: trade-off refers to the situation where one choice or good…

Q: Suppose you get $1,000 as a birthday gift.  You can spend it today or you can put the money in a…

A: The opportunity cost of spending the money can be calculated as follows: When the $1,000 gift amount…

Q: Does an increase in the opportunity cost mean that you have to give up more to obtain something…

A: The benefit which is forgone that would, in turn, had been derived through an option not being…

Q: Discuss a consequence scarcity has on our lives. Ideas that you may want to consider and discuss are…

A: Scarcity refers to the limited availability of resources that have unlimited wants and alternative…