According to Andrew Coyne, the author of an article published in the National Post (Canada), the ($14)
Question:
According to Andrew Coyne, the author of an article published in the National Post (Canada), the \($14\) billion in public funds handed out to General Motors and Chrysler by the governments of Canada and Ontario was one of the largest corporate bail-outs in the history of the country. The author claims that the question of opportunity costs (what else might have been done with the same money, what other investments might have been made or jobs created with the \($14\) billion governments taken out of the capital markets to lend to GM and Chrysler) never came up and that it never does. Instead, the focus tends to be only on the benefits, and that opportunity costs are neither counted nor understood.
Questions:
1 Why might opportunity costs not be considered when making decisions?
2 Provide examples of opportunity costs that you might incur.
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1 Reasons opportunity costs might not be considered when making decisions Limited perspective Decisionmakers may focus primarily on the immediate bene...View the full answer
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