Opportunity Cost
Logan decides to play video games instead of reading a book he wants to finish. He chooses games. His opportunity cost was __________.
Reading the book he wants to finish
This is the FIRST step of benefit/cost analysis
Make ONE decision and explore the benefits and the costs
What do we call the price where supply and demand meet
Market Price (or market equilibrium)
You want skittles and M&Ms. You choose skittles. What's the opporunity cost?
M&Ms
Ty decides to speed while driving. He gets pulled over and receives a $200 ticket.
What was Ty's opportunity cost?
False:
Ty's opportunity cost was driving the speed limit.
TRUE or FALSE
In a cost-benefit analysis, "benefit" refers to how the decision is good for you.
TRUE.
That's what 'benefit' means
What happens to demand when the price goes up?
It goes down
You want to got o the dance but your boss wants you to work. What is the cost of going to the dance.
Working
True or False:
Some choices have opportunity costs, but others don't.
False:
Every choice has an opportunity cost.
Barbie has to decide who to go to Prom with (Spiderman or Harry Potter). She has listed out the advantages and disadvantages of both options. What should Barbie do next?
Choose and recognize her biggest opportunity cost
What happens to the price of anything if fewer and fewer and fewer people want to buy it?
It goes down.
Class started at 8:15 but you came very late. What's the opportunity cost.
A happy economics teacher.