It sounds geeky to use economic concepts to explain our daily life but it's Amazingly interest to me recently. Here is one of interesting ones.
Opportunity Cost "Opportunity cost is the value of the next-best alternative when a decision is made; it's what is given up," (source) I have to give up 15 min of sleep for making a delouse pouring coffee. If I spend $10 on a music record, I have to slow down my saving for my dreamed $200 backpack. How to pick and choose? Is there any better solution? The opportunity cost reminds me to the trade-off in my decisions.
Opportunity Cost "Opportunity cost is the value of the next-best alternative when a decision is made; it's what is given up," (source) I have to give up 15 min of sleep for making a delouse pouring coffee. If I spend $10 on a music record, I have to slow down my saving for my dreamed $200 backpack. How to pick and choose? Is there any better solution? The opportunity cost reminds me to the trade-off in my decisions.
