Rather than go out to eat by yourself, you decide to stay at home and fix dinner for yourself and your two roommates. Your roommates applaud your decision
Your roommates tell you that your decision to eat at home has no opportunity cost because you already have all the dinner ingredients in your pantry. Is this comment correct?
Your roommates' comment is incorrect. The opportunity cost of preparing dinner at home is whatever is the best thing you give up, which, given your choice boiled down to staying home or going out, is going out to eat. Hence the opportunity cost of fixing dinner at home is going out to eat.
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If a student enrolls in an additional course at the university, an economist would conclude that: a. the total benefit that the student expects to receive as a result of completing her college degree exceeds the total cost of her college education. b. the student is not following the rule of rational choice
c. the student must not be involved in extracurricular campus activities. d. the expected marginal benefit of an additional course must exceed the expected marginal cost of the course.
The goods and services purchased from foreign sources are:
A.) Investment. B.) Exports. C.) Imports. D.) Income transfers.