The price of leisure
A) is the same for everyone.
B) depends on the number of hours worked.
C) is measured as foregone earnings.
D) is immeasurable.

Question

Quizplus · Accepted Answer

The price of leisure is measured as foregone earnings, meaning that the value of the income that could have been earned during the time spent on leisure activities is considered the price of leisure. Therefore, option C is the correct choice. Option A is incorrect because the price of leisure varies based on individual income levels. Option B is also not completely accurate as the price of leisure is not solely dependent on the number of hours worked, but on the value of the earning potential during those hours. Finally, option D is incorrect as measures like foregone earnings allow us to estimate the price of leisure in monetary terms.

The Price of Leisure