What is the opportunity cost of attending a university basketball game?
A) the sum of the value of all the alternative uses of your time while at the game
B) the price of the admission to the game
C) the value of the highest alternative use of your time and money sacrificed as a result of attending the game
D) zero if your favourite team wins

Question

Quizplus · Accepted Answer

The opportunity cost of attending a university basketball game is the value of the highest alternative use of your time and money sacrificed as a result of attending the game. This is because when you attend the game, you are sacrificing the opportunity to do something else with your time and money, and the value of that alternative use is the opportunity cost. A and B are not correct because they only focus on one aspect of the opportunity cost (time or money), while D is not correct because the outcome of the game has no bearing on the opportunity cost.

What Is the Opportunity Cost of Attending a University Basketball