If a proposed project causes an involuntarily unemployed person to return to the workforce, then the opportunity cost is _____________, as determined by labor-leisure choice theory and the uncertain duration of involuntarily unemployment.
A) equal to zero
B) a negative value
C) equal to the US minimum wage
D) equal to the US median labor wage
E) some non-zero positive value

Question

Quizplus · Accepted Answer

If a proposed project causes an involuntarily unemployed person to return to the workforce, then the opportunity cost is some non-zero positive value, as determined by labor-leisure choice theory and the uncertain duration of involuntarily unemployment.

If a Proposed Project Causes an Involuntarily Unemployed Person to Return