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April 2, 2024

ECO 535 UOPX Trade Offs and Opportunity Cost Discussion

People have needs and they have wants. It’s the needs and wants that drive the productive and distributive economic systems. Opportunity cost occurs when there are not enough resources available to meet wants. Essentially, there is a tradeoff. If I decide to take an extended vacation in lieu of buying a car, the opportunity cost is not getting the new car (and all the benefits that come along with it).

Can you think of a decision you made recently that highlights the definition of opportunity cost?

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