Janet is employed as an executive within a major corporation. When she decided to have a child, she stepped down from this position, thus giving up a six-figure income. Janet's situation illustrates which of the following "costs?"

Question

Quizplus · Accepted Answer

Janet's situation illustrates opportunity cost, as she had to give up her high-paying job to have a child, representing the highest-valued alternative that she gave up in order to pursue another option.

Janet Is Employed as an Executive Within a Major Corporation