Define the term opportunity cost concept
Define the term opportunity cost concept.
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Opportunity Cost: It refers to the cost of foregoing or providing up an opportunity. This is the cost of the next best option. It shows the income of benefit foregone since an exact course of action has been considered. Like Adam smith observed, when a hunter can bag a deer or a beaver within the single day, the cost of deer is a beaver and the cost of beaver is like a deer. A man that who marries a girl is foregoing the opportunity of marrying other girl. A film actress can either do modeling work or act in films. She can’t do the jobs at the same time both. Her acting within the film results in the loss of an opportunity of doing modeling work. Similarly, if an old building is proposed to be utilized for a business, where rent of the building is the opportunity cost. This cost concept was first developed through an Austrian economist, Wieser.
This cost concept plays a significant role in managerial decisions. This is useful in determination of relative prices of various goods. This is also useful in fixing the price of an output factor. Above everything, this help in the best allocation of available resources.
An investment in specific human capital arises while: (w) Chandra learns Japanese to be eligible for a potential job in Tokyo. (x) Chele has a face lift so she can increase her fees for high-fashion modeling. (y) Chelsea practices playing a harp and a
This worker’s weekly income in this demonstrated figure would be the highest at: (w) point a. (x) point b. (y) point c. (z) point d. How can I solve my Economics problem? Please suggest me the correct answer.
When this purely competitive labor market is primarily in equilibrium at D0L, S0L, a moving step to equilibrium at D1L, S0L would be probably to follow from increases in: (w) imports of this good by foreign competitors. (x)
Profit-maximizing firms which operate in competitive resource and output markets adjust labor inputs till the wage rate equals the: (1) average revenue from output. (2) output price equals average variable cost. (3) marginal utility o
Explain the accounting cost concept in brief.
Decreases in derived demands are best demonstrated while: (1) illegal aliens reduce equilibrium wage rates for unskilled workers. (2) swim suit sales plummet at the ends of summer vacations. (3) undocumented construction workers begin leaving the Unit
Disadvantaged groups have historically been pressured toward low wage jobs in a procedure termed as: (1) occupational crowding. (2) labor staggering. (3) systemic discrimination. (4) reverse favoritism. (5) nepotism. Q : Wage rates throughout supply of labor For wage rates in between $18 and $21, there the elasticity of Morgan’s supply of labor is: (w) 0.72. (x) one. (y) 1.08. (z) 1.44. Q : Explain the Price Elasticity of Demand Explain the Price Elasticity of Demand.
For wage rates in between $18 and $21, there the elasticity of Morgan’s supply of labor is: (w) 0.72. (x) one. (y) 1.08. (z) 1.44. Q : Explain the Price Elasticity of Demand Explain the Price Elasticity of Demand.
Explain the Price Elasticity of Demand.
Illustrates the factors changes in demand?
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