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It is something you give up for the best choice you picked. It is something you give up.

(I.E. You have two laptops Macbook and a HP, you picked a Macbook so your opportunity cost is the satisfaction of owning a HP).

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βˆ™ 13y ago
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Q: What do you mean by oppurtunity cost?
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Scarcity is the lack of availability of something. ie. petrol oppurtunity cost is the next best alternative


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Opportunity cost is an objective measure of cost s true or false explain?

false. Oppurtunity cost is the cost of the next best choice you might make. For example you have five dollars. You can go to the theater and see a movie (in the past) for the full five dollars or you can go out to eat. If you choose to go to the theater but would have gone out to eat if you decided not to then the oppurtunity cost of going to the theater was not going out to eat. This can not be objective because there is no way to say for sure what the next best choice is going to be for anyone. Perhaps you would have bought pink fluffy slippers if you could not go to the theater. Perhaps someone else will miss studying for a test. If can not be guessed. Only the person themself can be able to decide what their oppurtunity cost is.


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