During the next hour John can choose one of the following three activities: playing basketball, watching television, or reading a book.The opportunity cost of reading a book

Question

Quizplus · Accepted Answer

The opportunity cost of an activity is the value of the next best alternative forgone. If John prefers playing basketball over watching television, then the opportunity cost of reading a book is the value he places on playing basketball, as it is the next best alternative he gives up.

During the Next Hour John Can Choose One of the Following