Essay On Opportunity Costs

Microeconomics Microeconomics:Chapter 1:Economics revolves around the scarcity principle; wants are unlimited but resources are not.Economic decisions are concerned with maximising consumer surplus. They involve opportunity costs (trade-offs)In determining the trade-offs, one must take into account the cost-benefit principle; only undertake an action if the marginal benefit equals or exceeds the marginal costEconomic surplus: difference between.