1. In terms of opportunity cost, would it be more beneficial to have the government and private corporations subsidize (pay for) the health care of the entire population of the US? Explain your reasoning.
2. In the above possibility, identify what you think would be specific opportunity costs to fund health care costs for the entire population of the US.
3. Identify and briefly explain the opportunity costs of at least three decisions you've made in the past.
4. As you drive up Rte. 99 through the farm belt of central California there are miles and miles of crop producing agricultural fields. Nearly 100% of USA-grown almonds are grown in California. Why do you suppose these specific fields are used solely for producing almonds when they could be divided into sections to also produce grapes, oranges, apples etc.? (think comparative advantage).
5. Suppose you had 4 chapters to study for a midterm exam. Let's say you can cover all 4 chapters effectively in 12 hours. Your best friend who is also taking the same class is a very good note taker from chapter material, but it takes him 24 hours to cover the same 4 chapters effectively. Would it be wise to team up with this student - 2 chapters for you and 2 chapters for him assuming that he'll finish with plenty of time before the exam? Explain your reasoning by showing how both are either better or worse off with this arrangement.
6. Assume that you're considering opening a trendy clothing boutique. How would comparative advantage come into play with manufacturers? Distributors? Sales personnel?