Final answer:
After the price increase of bus tickets from $0.50 to $1, while maintaining the price of burgers at $2, the new opportunity cost of choosing a bus ticket is equivalent to half a burger. Alphonso can buy fewer bus tickets with his $10 budget, and the new budget constraint illustrates that each ticket costs more in terms of burgers foregone, doubling the opportunity cost.
Step-by-step explanation:
The question posed is related to understanding how changes in prices affect a consumer's budget constraint and the opportunity cost of choices available to the consumer. When Alphonso's town raises the price of bus tickets from $0.50 to $1, while keeping the price of burgers and his budget constant, this affects his consumption choices. To draw Alphonso's new budget constraint, you would illustrate a situation where fewer bus trips can be taken for the same expenditure. As for the opportunity cost, this is defined as the loss of potential gain from other alternatives when one alternative is chosen. When the price increases, the opportunity cost of choosing bus tickets over burgers goes up, because now each bus trip costs the equivalent of half a burger instead of a quarter of a burger, effectively doubling.
If we were to calculate the new opportunity cost using the prices provided, it would be $1 (price of a bus ticket) divided by $2 (price of a burger), which equals 0.50. So now, for every bus ticket Alphonso buys, he gives up the opportunity to purchase half a burger instead of a quarter of a burger as it was previously. Essentially, each bus ticket 'costs' more in terms of burgers foregone.