opportunity cost

2006-10-23 3:22 am
There are three choices arranged according to one's preference:
1) Chinese food
2) Italian food
3) Thai food
if he chooses Italian food, what is his opportunity cost?

回答 (2)

2006-10-23 3:34 am
✔ 最佳答案
opportunity cost = highest valued option forgone
if he choose Italian food

the rest(Chinese food and Thai Food)~~~forgone
according to his preference, the priority of Chinese food was higher than Thai food.
Therefore, execept Italian food, he would prefer to it Chinese food more than Thai food.
under the definition of the theory, Chinese food should be the highest valued option forgone.

so that, opportunity cost= Chinese food
2006-10-23 3:26 am
Highest option forgone.--->So the answer should be 1) Chinese food

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