If you decide to go to Cancún with your friends during spring break, you cannot go to Paris with your sister in the summer. This statement best represents this economic concept:
A)The real cost of something is what you must give up to get it.
B)"How much" is a decision at the margin.
C)People usually exploit opportunities to make themselves better off.
D)There are gains from trade.

Question

Quizplus · Accepted Answer

This statement best represents the economic concept of opportunity cost, which is the real cost of something being what a person must give up to obtain it. The choice between going to Cancun during spring break with friends or going to Paris with a sister in the summer represents a trade-off, as each option has an associated opportunity cost. Choosing to go to Cancun means giving up the opportunity to go to Paris with the sister, which represents the real cost of choosing the alternative option.

If You Decide to Go to Cancún with Your Friends