Question

locate an article in the WSJ or any other economic news source that deals with the concept of opportunity cost, economic systems, or any of the topics with which we are dealing this week. Summarize the article, highlighting the key concepts.

Answer 1

Ans:The opportunity cost means calculated price of utilizing resources that is the separation between accurate value developing from such utilization and that of an another.

Some of the examples of opportunity cost are:

1.Going back and forth is having a opportunity cost,the worth of your wasted time reducing depending per hour gain.

2.His eventual landing point usually depend on how self confident a team can satisfy relative to the opportunity cost and commercial problem in roasting that person.

The opportunity cost defines that the older value for making a specific investment instead of other.for example;

You are having $10000 and you want to invest that money into a firm ABC or you want to invest for a graduate degree.You choosed the first option that is to invest in a company and in this case opportunity cost is the developed life time yielding that may have developed from receiving the graduate degree.Here what you have done is you select to forgo the growth in earning when you utilize the amount to consume stock instead.

Opportunity cost is an element not just in customer decisions but in manufacturing decisions,Capital allotment, time adjustments and life style decisions.

And atlast we can say that this is inborn in all decisions of day to day life and of investing:If you are selecting a decisions, you normally forgo the other choice at that time.

THANKS...!!!!