One of your authors received the following message in an e mail from a student: An

Question:

One of your authors received the following message in an e mail from a student: “ An individual who owns the house he lives in forgoes receiving rent from a tenant. This forgone rent represents an to the homeowner and therefore should not be taxed based on the Haig Simons definition of income.” Evaluate this statement.
Opportunity Cost
Opportunity cost is the profit lost when one alternative is selected over another. The Opportunity Cost refers to the expected returns from the second best alternative use of resources that are foregone due to the scarcity of resources such as land,...