What is it called when an economic player avoids a choice because the opportunity cost is too high?(1 point)

Question

Responses

positive incentive
positive incentive

trade-off
trade-off

rational decision
rational decision

negative incentive
negative incentive

Answer 1

The correct response is "negative incentive." A negative incentive occurs when the opportunity cost of a choice is perceived to be too high, prompting an economic player to avoid that choice.