1. Alicia has $80. She can choose to buy a new pair of jeans for $80, or a new pair of boots for $80. 10 Marks Total a. Which of the 10 economic concepts is Alicia dealing with? Explain. 2 Marks The Opportunity cost because Alicia has limit of 80$, and which she ca only buy one of the items. In result giving up the opportunity for one of the two items. b. If she chose to buy the boots because that would make her happy, is she being purposeful in her behaviour? Explain. 2 Marks Yes, she is being purposeful in her behaviour, because these pair of boots are increasing her satisfaction. Purposefully behaviour regards consumers finding satisfaction in their product of purchase c. What is her money cost for the boots? 2 Mark The money cost of boots is mentioned in the question which is $ 80 d According to the textbook, what is "opportunity costs"? 2 Marks The Value of next- best alternative, when is decision is made, the alternative which is sacrificed to gain another. e. What is Alicia's opportunity cost in getting the boots? 2 Marks Opportunity cost is the good forgone to buy another good. She decided to buy boots and so she is sacrificing the jeans to buy the boots. Her the opportunity cost is the jeans