Opportunity cost of a choice is

the money spent on the choiceCorrect answerYour answerthe value of all the alternatives given upCorrect answerYour answerthe cost paid to the governmentCorrect answerYour answerthe value of the next best alternative given upCorrect answerYour answer

Show the answer and explanation

CorrectNot quiteAnswer D

Correct answer: D

Choosing one use of a resource means giving up its other uses; only the best of those is counted.

Worth noting

Adding up every alternative overstates it: you could only have taken one of them.

Concept: Meaning of opportunity cost
Typical timeTypical: 40 s
Your timeYours: —

The rule this testsOpportunity cost and MRT

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Opportunity cost of a choice is

Explanation