Which of the Following Would NOT Be an Opportunity Cost

question 260

Multiple Choice

Which of the following would NOT be an opportunity cost of fighting the war in Iraq?

• A)The $5 billion per month spent on research to cure breast cancer.
• B)A $5 billion per month cut in income taxes.
• C)A $5 billion per month investment in high speed rail systems between 12 major cities in the country.
• D)The $5 billion per month cost of fighting the war.
• E)A $5 billion per month program that invested in low-income housing across the country.

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Definitions:

Reduce Expenses

Implementing strategies and actions aimed at cutting down costs and spending less money in personal or business operations.

Headcount

The total number of individuals working for a company, either as full-time employees or in positions equivalent to full-time employment.

Hiring Freeze

A temporary policy to cease or significantly slow down the recruitment of new employees, typically implemented to reduce costs.

Efficiency

The ratio of the output to the input of any system, indicating how well resources are utilized.