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Suppose you have bought and paid for a ticket to see Lady Gaga in concert. You were willing to pay up to $200 for this
Suppose you have bought and paid for a ticket to see Lady Gaga in concert. You were willing to pay up to $200 for this ticket, but it only cost you $110. On the day of the concert, a friend offers you a free ticket to the opera instead. Assuming that it is impossible to resell the Lady Gaga ticket, what is the minimum value you would have to place on a night at the opera, in order for you to choose the opera over Lady Gaga?
How the opportunity cost is calculated here?
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