Benefit is considered as an activity where an individual’s gains an interest which is generally determined under the preferences of each.
Economists on the other hand, measures the intensity of these benefits that an individual to give up to get something else.
The best example is served in front of you. While a student is studying in a school, they are sacrificing a lot in terms of leisure activities. But at the end, they are gaining a lot better benefits in terms of position and reputation when they graduate.
Small benefits on the other hand can be categorized as an example where a student is sacrificing an iPod just to get a McDonalds burger.
Link of Previous Main Topic:-
Links of Next Macroeconomics Topics:-
- Making a Rational Choice
- Benefit What You Gain
- Cost What You Must Give Up
- How Much Choosing At the Margin
- Choices Respond To Incentives
- Economics as Social Science And Policy Tool
- Graph Used In Economic Model
- Economic Problem
- Market Equilibrium
- Employment and Unemployment
- Measuring GDP and Economic Growth
- Economic Growth Macroeconomics
- Policies for Achieving Faster Growth
- The Exchange Rate and the Balance of Payments
- The Dollar and Carry Trade
- Expenditure Multiplier Know the Keynesian Model