Opportunity Cost

Sponsored Listings

Genetically Modified Food
Genetically Modified Food Table of contents Topic Page Abstract 2 Health 3-4 Environm

Richard NIxon
Richard NIxon Richard Milhous Nixon, 37th president of the United States, was born Ja

Foreign Investment In Brazil
Foreign Investment In Brazil INTRODUCTION “For those who believed that Brazil would f

Downsizing
Downsizing Downsizing has both positive and negative aspects. In most cases I believe

Indecent Content
Indecent Content Should it be legal to release certain “indecent” content in print bu

Ethnical Behavior is More Than Profitable
Ethnical Behavior is More Than Profitable Running head: ETHICAL BEHAVIOR IS MORE THAN

Issue In Institutional Racism
Issue In Institutional Racism The history of the United States is one of duality. In

Family Planning Population Policy In India
Family Planning Population Policy In India Indias population is in peril. Without the

THE MEDICAL MARIJUANA REBELLION
THE MEDICAL MARIJUANA REBELLION Richard Nixon launched the controversial war on drugs

Eating Disorders: Types and Treatments
Eating Disorders: Types and Treatments People with Bulimia, like those with Anorexia,

>> More Sponsored Search Results

Below is free essays on Opportunity Cost by A+ Essays, your one-stop source for free essays, free college term papers, and free term papers. Look for more free essays and free term papers using the search box above.

Word Count: 266
Page Count: 2

Opportunity Cost

Opportunity Cost

Define and explain the concept of opportunity cost.
Opportunity cost is defined by Sloman and Norris as (1999, pg. 09) “the cost of any activity measured in terms of the best alternative forgone.” It is important to note that the definition refers to the best alternative forgone, not the top three alternatives or top ten. Opportunity cost is only concerned with the result of making a particular decision and the losses incurred or the impact that choice will have. Making what may be considered to be the right decision at the time is based various criteria, some of which will be influenced by personal values and experiences.
Opportunity cost is an important concept in economics as it can be used to predict the feasibility of one decision over another. It shows how the decision to increase the input of resources to one area could dramatically affect the output in another area. A simplified example is a country that only has two major exports, rice and wheat. The country has maintained an even balance for many years but climatic changes now dictate that only one type of crop can be grown for six months of the year. The country must make a decision as to whether they will benefit more from growing either wheat or rice.
The government calculated that it is significantly more profitable to grow and export rice so a decision is made to grow more rice. The opportunity cost of this decision is that there will be a decrease in the production of wheat resulting in an increase in the price of wheat products.

Economics Essays

Sponsored Listings

Foreign Investment In Brazil
Foreign Investment In Brazil INTRODUCTION “For those who believed that Brazil would f

Downsizing
Downsizing Downsizing has both positive and negative aspects. In most cases I believe

Power of the Media
Power of the Media The Power of the Media In Susan Douglass essay Narcissism as Liber

U-2 Incident
U-2 Incident On May 1, 1960, two weeks prior to the United States-Soviet Summit in Pa

Issue In Institutional Racism
Issue In Institutional Racism The history of the United States is one of duality. In

Spanish settlement of the west
Spanish settlement of the west History International borders have always been centers

Hemp
Hemp PREAMBLE As we enter a new millennium, we find ourselves reevaluating the paths

Capital Punishment
Capital Punishment Thesis One: In principle a case can be made on moral grounds both

European Herald TribuneI. Abstract
European Herald TribuneI. Abstract T his project presents a concise detailed analysis

Mental Health Legislation
Mental Health Legislation In 1997 when the current Government was elected into power

>> More Sponsored Search Results

Related Keywords: decision, cost, wheat, rice, Opportunity, country, opportunity, grow, top, area, increase, concept, forgone, alternative, important, free essays, free term papers, free college term papers