8
QuizMultiple Choice

Opportunity Cost — Quiz

Question 8 • Personal Finance

When someone is making an economic decision, what is meant by the "long-term costs” of that decision?

Answer
A
what the person must earn in the future to pay for what they want to have now
B
what the person has to pay financially for what they want to have now
C
what the person is giving up in the future to have what they want to have now
D
what the person regrets about their decision to purchase something now

Explanation

Long-term costs include the future opportunities or benefits a person gives up by choosing to get something now. This is an opportunity cost: choosing one option means giving up the next-best alternative. So the correct choice is “what the person is giving up in the future to have what they want to have now.”

AI-written and checked against the verified answer.

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