I love this definition. “economics is the study of how to get the most out of life”
I was going through econlib.org and found an interesting article on Opportunity cost. Its not a big theory to make you bored. So you can check it out even if you have the opinion that Economics is boring.
” To get the most out of life, to think like an economist, you have to be know what you’re giving up in order to get something else. That’s all opportunity cost is”
If you are not from a background of Economics, Opportunity cost is what you have to give up to get something.
“To get the most out of life, to think like an economist, you have to be know what you’re giving up in order to get something else.”
I remember one of our History professors at college used to give us a funny definition of economics.
” Suppose you have an apple with you. If you keep the apple in your hand, you can’t eat it. If you eat it, you can’t keep it in your hand”
Sounds funny eh ?. It won’t sound funny if we go for serious application of this principle. Author of the article that I was mentioning Russell Roberts, had no intention of making anyone confused so I think we should not go for confusing examples here also.
PS: I remember the definition of Opportunity cost very well. “Opportunity Cost is the next best alternate forgone.” I had to write it 50 times as punishment when I was in School !!!!!
2 responses so far ↓
1 Ann // Apr 21, 2007 at 5:37 pm
U sure think like an economist yaar….but for me
Economics = yuckkkk hehe…well i will have to economics next sem…lets see how that goes *sigh*
2 dinsan // Apr 22, 2007 at 7:56 am
All the best with ur economics next sem. !! it should go fine if you dont hate it…. hiihi if you dont like it..its fine though
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