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Explain Why a Relative Price Is an Opportunity Cost

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Explain why a relative price is an opportunity cost.


Definitions:

Scarcity

The state of being in short supply; a situation where resources are insufficient to satisfy the needs or wants of individuals or societies.

Reactance

A psychological response that occurs when people feel their freedom to choose is being limited, prompting a motivation to regain that freedom.

Restricted Choices

A situation characterized by limited options or alternatives available for selection.

Ethical Resistance

The act of opposing actions or decisions that violate moral principles or codes of conduct.

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