<p>You have it dead on! There opportunity cost is the next best alternatives that you forgo when you decide (in this example) to go to college. Because there is always some opportunity cost to every decision, economists say that there is no such thing as a free lunch</p>

CC BY-SA 4.0
2019-04-11T12:05:54.983Z
2019-04-11T12:05:54.983Z
bdempe
<p>I was working on a question that asked the opportunity costs of going to college per year given that college tuition is <span class="math-container">$ x $</span> and the salary per year is <span class="math-container">$ y $</span>. The answer given is <span class="math-container">$ x + y $</span>. </p>

<p>I thought that economic costs is given by: <span class="math-container">$$ \text{Economic costs} = \text{Accounting costs} + \text{Opportunity Costs} $$</span></p>

<p>Here, the accounting costs would be the explicit cost of tuition, while the opportunity cost would be the implicit cost of wages foregone. </p>

<p>Is my conclusion correct? Or is economic costs synonymous with opportunity costs?  (Which makes opportunity cost equal to the <em>total</em> cost, explicit + implicit)?</p>

<opportunity-cost>
Are opportunity costs synonymous with economic costs?
WorldGov
# Are opportunity costs synonymous with economic costs?

(Asked by: username_0 on 2019-04-11)

I was working on a question that asked the opportunity costs of going to college per year given that college tuition is $ x $ and the salary per year is $ y $. The answer given is $ x + y $.

I thought that economic costs is given by: $$ \text{Economic costs} = \text{Accounting costs} + \text{Opportunity Costs} $$

Here, the accounting costs would be the explicit cost of tuition, while the opportunity cost would be the implicit cost of wages foregone.

Is my conclusion correct? Or is economic costs synonymous with opportunity costs? (Which makes opportunity cost equal to the *total* cost, explicit + implicit)?

**Tags:** opportunity-cost


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## 1 answers

### Answer by username_1 on 2019-04-11. Score: 1

You have it dead on! There opportunity cost is the next best alternatives that you forgo when you decide (in this example) to go to college. Because there is always some opportunity cost to every decision, economists say that there is no such thing as a free lunch


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