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Which of the following involves an opportunity cost

a. Choosing to go to law school rather than business school
b. do nothing
c. new airline safety regulations
d. all of the above

1 Answer

2 votes

Final answer:

Opportunity cost is the consideration of what is given up when a choice is made, and it applies to all of the options provided: choosing law school over business school, doing nothing with beneficial alternatives available, and implementing new safety regulations that have potential cost implications.

Step-by-step explanation:

The concept of opportunity cost involves considering what you give up when you make a choice. For instance:

  • Choosing to go to law school rather than business school involves an opportunity cost because you are giving up the potential benefits of attending business school.
  • Doing nothing can also involve opportunity cost if there was a beneficial alternative action you could have taken.
  • New airline safety regulations might involve opportunity costs if they lead to increased costs for airlines, which may result in higher ticket prices or reduced service.
  • Therefore, the correct answer is d. all of the above.
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