"We all face opportunity costs. For example, professional athletes often sign very lucrative contracts with major league teams at a young age. In Money and Missed Opportunities Andrea J. Caceres-Santamaria, Senior Economic Education Specialist GLOSSARY Consumers: People who buy goods and services to satisfy their wants these cases, they receive large incomes at a relatively young age and in many cases before they even graduate college. Their lack of knowledge about how to handle and allocate large amounts of money often results in many high-priced impulse purchases. They do not visualize or consider the opportunity costs of some of their financial decisions. Their lack of awareness regarding how, on what, and the rate they spend their earnings during their professional careers (which are not lifetime careers) leads to almost 80 percent of professional athletes declaring bankruptcy or experiencing financial stress within five years of retirement. Had they taken the time to think about the opportunity costs of their financial decisions they may not have

N.B: It is note an exam

Terry attends college and works part-time in a drug store. She can work up to 40 hours per week and is paid $9 per hour. With her schoolwork and other responsibilities, she only has 40 hours per week total to devote to work and leisure. The following table shows her utility from different levels of leisure and income.   Hours of Leisure Total Utility from Leisure Marginal Utility of Leisure Work Hours Income Total Utility from Income Marginal Utility from Income 5 18   5 45 35   10 34   10 90 59   15 48   15 135 77   20 56   20 180 86   25 60   25 225 92   30 65   30 270 98   35 69   35 315 103   40 72   40 360 107   Terry decides to decrease her work hours from 20 to 10. What will be her total utility from both leisure and income when working 10 hours per week?

A firestorm of controversy erupted recently on social media outlets and the national press as three teens died attempting to complete the Monster Challenge, which involves recording a person's mass consumption of energy drinks in a very small window of time. Five others were rushed to the hospital. Deeper investigation by media outlets has shed light on the disturbing number of Americans who are hopelessly addicted to energy drinks.  Lawmakers, including Senator Miller (D-CA), have called for an aggressive tax on energy drinks to stop this scourge that is ravaging the community. The Miller Bill would place a two dollar tax on energy drink tall cans (that on average cost $2.50) in all American markets. Other members of Congress led by Senator Cruz (R-TX), however, believed that tax to be too high, so the Miller Bill was amended to decrease the size of the tax to just one dollar.  Therefore, Senator Miller has asked his team of young, expert economists (that's you all) to project the…

Topic One: Substitutes and Complements 1. How do retail stores display their merchandise taking into account substitute or complementary goods? Give some examples. 2. Have your purchases been influenced by these marketing techniques? Give some examples. Topic Two: Measuring Opportunity Cost How would you suggest to measure the opportunity cost of a parent that chooses to play with their child vice play sudoku? How would you measure the opportunity cost of the kid? Topic Three: Marginal Analysis, Opportunity Cost We read this week that opportunity cost must be used to make rational decisions, we also read that people should make decisions after considering marginal benefit versus marginal cost. Could you think in situations that you could use opportunity cost, marginal benefit and marginal cost concepts to make your own decisions? Provide examples.

Explain how an increase in income would affect demand for an inferior good and explain why giving an example?

Q2: The price of milk has increased from $2 to $2.2 and quantity decreases from 10 to 8 gallons. Find PED and comment on your findings.

A government report comes out saying that drinking tea daily has great health benefits. This will cause the price of tea to [Select] and the quantity of tea bought and sold to [Select]