Question
TRUE OR FALSE? a) Jimmy an elite athlete and has a choice between three careers: he can join Major League Baseball and make $1 million
TRUE OR FALSE?
a) Jimmy an elite athlete and has a choice between three careers: he can join Major League Baseball and make $1 million per year, he can join the National Hockey League and make $2 million per year, or he can join the National Football League and make $2 million per year. Assuming he only cares about monetary compensation, Jimmy's opportunity cost of playing in the NFL is $2 million per year.
b)I have a choice between three activities on Friday night: drinking at the pub with my friends, going bowling, or sitting at home and getting high. I hate getting high at home, but I enjoy the other two activities. Therefore, the opportunity cost of going bowling for me is the combined satisfaction I'd receive if I went to the pub with my friends and got high at home.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started