For each of the five situations below, identify the opportunity cost of the person's choice. Describe the choice and opportunity cost of each situation. "Use a sentence that begins "When...chose the..., his/her opportunity cost was...".

Question

The city was building a new park. There was only enough money in the budget to include new tennis courts, a wading pool, a music stage, or a parking lot. At the public hearing, many of the people wanted more parking. City Council voted to build the music stage after narrowing it down to either the stage or the wading pool. What was the city's opportunity cost?

Answer 1

When the City Council chose to build the music stage, their opportunity cost was not being able to build the wading pool.