Final answer:
In the given scenario, the student chooses to study microeconomics over playing video games, making the enjoyment of playing the video games the opportunity cost of studying. Opportunity cost is a key concept in economics that refers to the value of the best alternative forgone when a decision is made. Option A is correct answer.
Step-by-step explanation:
When making decisions, it is crucial to consider the concept of opportunity cost, a fundamental principle in microeconomics. Opportunity cost refers to the value of the best alternative that is forgone when making a choice. In the scenario provided, the student decides to study microeconomics instead of playing video games with a friend. Therefore, the enjoyment forgone from not playing video games is the opportunity cost of studying. It is the most desirable alternative given up as a result of the decision to study.
The idea of opportunity cost permeates every aspect of decision-making in economics. When choosing one option over another, whether it relates to spending time, money, or resources, the alternative that has to be sacrificed is the opportunity cost. This concept helps individuals and businesses to evaluate the trade-offs and make informed decisions to maximize their satisfaction or profits.
In economics, decision-making often involves thinking at the margin, which means considering the additional cost or benefit of using one more unit of time or resources. However, in the given situation of choosing between studying and playing video games, we are focusing on the opportunity cost, which is the immediate trade-off of the decision. This helps to clarify the sacrifices made when prioritizing one action over another.
Returning to the question, the correct option that completes the statement "This means the enjoyment of playing video games with a friend is called the ___" is A. opportunity cost.