1. Give three examples of opportunity cost from your day-to-day life, and how you made your decision based on opportunity cost. Discuss whether or not these opportunity costs are same or different than monetary costs
a) My husband and I recently got tickets to a very popular band here in Canada called the Tragically Hip this band has had some sad news health wise and this will probably be their last tour, we felt very lucky to get these tickets and paid $200 for them, this turned out to be very cheap as demand was very high and the tickets are now valued on the street in the thousands of dollars. After considering opportunity cost of our actual tickets is now actually in the thousands of dollars and not the $200 we paid I have been left considering how badly I really want to see this band as opposed …show more content…
You are the campaign manager for a politician running for office in your country. He wants you to write a small speech showing the virtues of free trade, even with countries that seem “inferior” in technology. Write a paragraph or two explaining the pros and cons of free trade.
Free trade can be defined as "the unhindered flow of goods and services between countries, and is a name given to economic policies and parties supporting increases in such trade." [Free Trade, 2016]
Some of the positive aspects of free trade are, it allows for lower prices for consumers, increased exports between countries, and offers a greater choice of goods. [Benefits of free trade, 2016] These are important as the fall in prices allow for an increase in consumer spending and potential boosts to the economy. The increase in exports translates to increase in jobs and economic growth. The greater choice of goods is created when countries are able to specialize in certain goods where they have a comparative advantage but also have access to a variety of goods from other countries thereby offering a greater choice of goods to consumers and also allowing for certain markets to
a) My husband and I recently got tickets to a very popular band here in Canada called the Tragically Hip this band has had some sad news health wise and this will probably be their last tour, we felt very lucky to get these tickets and paid $200 for them, this turned out to be very cheap as demand was very high and the tickets are now valued on the street in the thousands of dollars. After considering opportunity cost of our actual tickets is now actually in the thousands of dollars and not the $200 we paid I have been left considering how badly I really want to see this band as opposed …show more content…
You are the campaign manager for a politician running for office in your country. He wants you to write a small speech showing the virtues of free trade, even with countries that seem “inferior” in technology. Write a paragraph or two explaining the pros and cons of free trade.
Free trade can be defined as "the unhindered flow of goods and services between countries, and is a name given to economic policies and parties supporting increases in such trade." [Free Trade, 2016]
Some of the positive aspects of free trade are, it allows for lower prices for consumers, increased exports between countries, and offers a greater choice of goods. [Benefits of free trade, 2016] These are important as the fall in prices allow for an increase in consumer spending and potential boosts to the economy. The increase in exports translates to increase in jobs and economic growth. The greater choice of goods is created when countries are able to specialize in certain goods where they have a comparative advantage but also have access to a variety of goods from other countries thereby offering a greater choice of goods to consumers and also allowing for certain markets to