1.3 Opportunity Cost Flashcards
(4 cards)
1
Q
Define opportunity cost
A
The next best alternative forgone, by choosing another item.
2
Q
Give an example of opportunity cost that the government may face
A
Deciding to build something (a school) instead of another thing (a hospital)
3
Q
Give an example of opportunity cost that workers may face
A
Work more hours, but spend less time with family
4
Q
Give an example of opportunity cost that customers may face
A
May purchase something (iPhone) instead of another thing (Laptop)
