For each of the following, describe some of the potential opportunity costs: a. Visiting your parents over the weekend

For each of the following, describe some of the potential opportunity costs:

a. Visiting your parents over the weekend

b. Exercising an hour every other day

c. The government of your country renovating a 1,000-year-old monument

d. The local town subsidizing public transport to keep ticket prices down

e. Flying business class on a holiday

f. Binge-watching a new show on Netflix

Solutions

Expert Solution

(a) the value of alternative uses of time (cleaning your flat, hanging out with friends)

(b) the value of alternative uses of time (other forms of leisure or exercise)

(c) the value of other goods and services that the government could have purchased with the money used to renovate the monument, or the value of goods and services the taxpayers could have purchased with the tax revenue used to renovate the monument

(d) the value of the goods and services that the town could have purchased with the money used to subsidize local public transport

(e) the value of other goods and services that you could have purchased with the money used to upgrade to a business class ticket

(f) the value of alternative uses of time (studying, sleeping, hanging out with friends, other forms of leisure)

Junaid answered 6 months ago

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