During a war, governments will sometimes draft people, most of whom are presently employed, into the army. An economist, computing the real cost of the war, would be sure to include which of the following items?

Question

Quizplus · Accepted Answer

The real cost of the war includes the opportunity cost, which is the value of civilian goods that are no longer produced because those workers have been drafted into the army.

During a War, Governments Will Sometimes Draft People, Most of Whom