Economists consider economic depreciation to be the_______ in market value from the use of the capital and measure this use in terms of _______cost.
A)decrease; opportunity
B)decrease; marginal
C)increase; opportunity
D)increase; marginal

Question

Quizplus · Accepted Answer

Economic depreciation refers to the decrease in market value of capital due to usage. This loss is measured in terms of opportunity cost, as the capital could have been used for alternative purposes instead of depreciating in value.

Economists Consider Economic Depreciation to Be The_______ in Market Value