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Posted: April 8th, 2024
Suppose that you have saved $100. You can spend it today or you can put it
in your savings account for a year and earn 5% interest. What is the opportunity cost of spending
the money today?
What is the difference between capital goods and consumer goods?
What is the opportunity cost of
producing a capital good such a new road?
In economic terminology, what is the
meaning of investment?
How does an individual know whether or
not an investment in education is worthwhile?
Define opportunity cost. Given the
definition of opportunity cost, explain what is meant by the statement
âThere is not such thing as a free lunch.â
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