To explain: The
Explanation of Solution
The economic choices made by people involve the exchange of one good or service for another. This exchange of one good or service for another is called a Trade-off.
The opportunity cost of any trade-off will be the most preferred possible alternative. In a trade-off, a person has to make a sacrifice of his good or service to get another commodity. For example, if a person has two options; to buy a computer or to buy a mobile phone. In this case, if the person buys (trade-off) the computer then the opportunity cost of the computer is the cost of the mobile phone.
Chapter 1 Solutions
Economics Today and Tomorrow, Student Edition
Additional Business Textbook Solutions
Principles of Management
Managerial Accounting (4th Edition)
Cost Accounting (15th Edition)
Construction Accounting And Financial Management (4th Edition)
Financial Accounting (12th Edition) (What's New in Accounting)
Principles of Accounting Volume 1
- Principles of Economics (12th Edition)EconomicsISBN:9780134078779Author:Karl E. Case, Ray C. Fair, Sharon E. OsterPublisher:PEARSONEngineering Economy (17th Edition)EconomicsISBN:9780134870069Author:William G. Sullivan, Elin M. Wicks, C. Patrick KoellingPublisher:PEARSON
- Principles of Economics (MindTap Course List)EconomicsISBN:9781305585126Author:N. Gregory MankiwPublisher:Cengage LearningManagerial Economics: A Problem Solving ApproachEconomicsISBN:9781337106665Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike ShorPublisher:Cengage LearningManagerial Economics & Business Strategy (Mcgraw-...EconomicsISBN:9781259290619Author:Michael Baye, Jeff PrincePublisher:McGraw-Hill Education