59.6k views
5 votes
Ben was considering spending his gift card on books, music downloads, or movie tickets. He chose the movie tickets. Any values given up from not choosing the books and music downloads are called _____ .

incentives
opportunity costs
trade-offs

2 Answers

1 vote

The answer to the question is TRADE-OFF

User NonlinearFruit
by
7.6k points
4 votes
Books and music downloads are what we call opportunity costs. Opportunity costs is a basic term in economics. When calculating your gains and losses carefully, you will always end up sacrificing some things in order to get the best of the situation. In this case, movie tickets are the best possible choice considering things. In doing so, Ben will not be able to buy books and music downloads. He lost the opportunity to do these. Hence, the name opportunity cost.
User Haywire
by
7.5k points