Question

your roommate was totally ready to purchase a $10 meal from burrito king, but they do not want to go pick it up. they go on grubhub, and find out that a $10 meal is going to cost $4.99 for the delivery fee, $3.25 for the grubhub fee, and $2.55 for the tip. somehow, paying $20.79 for a $10.00 meal is agreeable to them, but going to pick it up and pay $10.00 is not. this suggests that your roommatesomehow, paying $20.79 for a $10.00 meal is agreeable to them, but going to pick it up and pay $10.00 is not. this suggests that your roommate?

Answer 1

Your roommate's decision to pay $20.79 for a $10 meal delivered through Grubhub suggests they value convenience and time over money, highlighting the opportunity cost and consumer behavior concepts where non-financial factors heavily influence purchasing decisions.

Step-by-step explanation:

The situation described where a roommate is willing to pay $20.79 for a $10 meal from Burrito King suggests a few potential economic or behavioral concepts. One of these is the concept of convenience having a value attached to it. In this scenario, the convenience of having the meal delivered is worth the additional cost to your roommate.



This situation also ties into the idea of opportunity cost, which represents the value of the next best alternative forgone. For your roommate, the time and effort saved by not going to pick up the meal might be valued more than the extra money spent on delivery and associated fees.

Additionally, this reflects consumer behavior where individuals base their purchasing decisions not just on monetary costs but also on factors like time, effort, and overall experience. Behavioral economics would explain this by suggesting that people do not always act in a strictly 'rational' economic sense, but instead their decisions are influenced by a variety of non-financial factors and personal biases.