ECO101H1 Lecture Notes - Opportunity Cost
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ECO101H1 Full Course Notes
Verified Note
98 documents
Document Summary
Www. chass. utoronto. ca/~pesando download syllabus, announcements, etc assignments and lecture outline: user: pesando pass: windsor lectures mondays and wednesdays. Friday = reserve day (catch up, extra stuff etc) The economics way of thinking (week 1) (download: the economic problem: scarcity requires choices, economic decision making. Economics: study of how rational people make choices. Insights: opportunity cost and marginal analysis two concepts that aid in. Logical thinking in economic context: apparently non economics problems are economic problems opportunity cost, examples, applications. The opportunity cost of an action is what one forgoes (gives up) by not taking the best alternative action. Insights: the question should i do x? should be replaced by: Should i do x or y where y is the most highly valued alternative to x? : opportunity cost includes time cost as well as money cost. (class examples emphasize this fact. ) The opportunity cost of attending a concert: if the best alternative is working part-time, at . 00 per hour.
