gallon of root beer is__________    , and Valerie's opportunity cost of brewing a gallon of root beer is_________    .  ________   has an absolute advantage in brewing root beer and__________    has a comparative advantage in brewing root beer.   If Poornima and Valerie trade foods with each other,________    will trade away pizza in exchange for root beer.   The price of pizza can be expressed in terms of gallons of root beer. The highest price at which pizza can be traded that would make both roommates better off is___________    of root beer, and the lowest price that makes both roommates better off is__________    of root beer per pizza

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Opportunity Cost Analysis

Opportunity cost refers to the loss of potential benefits when choosing one alternative over another. It is the tradeoff a person makes, or the potential gains they miss out on, because of their choice. To analyze opportunity cost, we must consider the benefits and tradeoffs of each available option.