How to calculate opportunity costs

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  • เผยแพร่เมื่อ 24 ธ.ค. 2024

ความคิดเห็น • 210

  • @FreeEconHelp
    @FreeEconHelp  6 ปีที่แล้ว +41

    Thank you so much for watching this video! I hope it was helpful :)
    If you have any questions, please leave them below and I'll do my best to address them.
    As always I really APPRECIATE the "thank you!"s, LIKES, and SUBSCRIBES! They keep me going :)
    Have a great day and good luck on that exam!

    • @MandeepKaur-ds3np
      @MandeepKaur-ds3np 3 ปีที่แล้ว

      Sir please let me know how opportunity cost of 1tv is 1/2 chair .when we divide 5/10 it give me answer 2 or 0.5 but not 1/2. Please help me sir

    • @muadhmasoon9325
      @muadhmasoon9325 3 หลายเดือนก่อน

      @@MandeepKaur-ds3np 0.5 and 1/2 is the same thing

  • @reybambampow3514
    @reybambampow3514 6 ปีที่แล้ว +300

    You taught me in 5 minutes what I been struggling with for nearly 5 hours with the crappy textbook they gave us

    • @FreeEconHelp
      @FreeEconHelp  6 ปีที่แล้ว +7

      Thanks!

    • @CeynteShow
      @CeynteShow 6 ปีที่แล้ว +2

      me too, that was helpful.

  • @bradylisle1810
    @bradylisle1810 3 ปีที่แล้ว +12

    I spent an entire semester trying to understand this for microeconomics, got a LOW C in the class, almost switched majors because i couldn't grasp this fundamental concept. I started taking macroeconomics and you taught me in a way that I finally understand.

  • @melissavincent7952
    @melissavincent7952 7 ปีที่แล้ว +64

    For some reason I couldnt wrap my brain around this calculation on my own, and this video helped SO MUCH. I can't thank you enough.

    • @FucheGewgle
      @FucheGewgle 11 หลายเดือนก่อน

      Me too!! I am way dyslexic! This helped me a lot!

  • @sabinabujoreanu2607
    @sabinabujoreanu2607 7 ปีที่แล้ว +9

    It's late at night r.n and I have an economics test tomorrow, and I was about to freak out that I don't understand how to calculate OC but then I found this video. THANK YOOOU , YOU JUST SAVED ME!!!

  • @kellymartinez159
    @kellymartinez159 5 ปีที่แล้ว

    Thank you so much, ten videos later no one BOTHERED to say HOW to do it. Easy method, clear. no fluff just info. THANKS MAN!!!

  • @ryanbeckwith6137
    @ryanbeckwith6137 4 ปีที่แล้ว +1

    The way in which you find the Opportunity Cost in this video is a really great way to not only check your answer but make sure your retaining the knowledge. Thank you so much, I appreciate you.

  • @adriannaz3898
    @adriannaz3898 5 ปีที่แล้ว +1

    I struggling about 2 hours with this question!!! This video save me life!!!!!!!!!!!!!!!!!!!!!!!!! Thank you so much!!!

  • @ChemSquid
    @ChemSquid 9 ปีที่แล้ว +23

    Thank you so much for this, I love how you've broken it down enough to understand exactly how it should be done.

  • @oliviatiritilli5800
    @oliviatiritilli5800 9 ปีที่แล้ว +1

    People like you make the world a better place! thanks for the help!!!!

  • @kimmmm3n
    @kimmmm3n 2 ปีที่แล้ว

    I passed my microeconomics exam because of this method. I got full score on this question on the exam due to this method. And that helped me to make me pass the total exam!
    Thanks!

  • @angelamontoya6354
    @angelamontoya6354 4 ปีที่แล้ว

    OC understanding has been elusive to me. My brain agrees with your method of explanation. I was worried about remembering the 3 points but, this AM I woke up with the sentence on my brain. Thank-you!!!

  • @sourovajmain2048
    @sourovajmain2048 3 ปีที่แล้ว

    That Per hour example really saved me. Thank you

  • @ken8844
    @ken8844 10 ปีที่แล้ว +2

    Oh my god. This is exactly what I was looking for. For me, I don't understand O.C but they way you explain is just perfect. I hope there are more easier way to learn in Macro/Micro Economist

  • @MrJmr887
    @MrJmr887 6 ปีที่แล้ว +5

    Thank you buddy, my homework question was soo confusing to me until you explained it and showed it to me this way. A rather simple process.

  • @shortWM
    @shortWM 2 ปีที่แล้ว

    After watching many videos, I wasted my time. But I learn the best part for this topic in your video. Thank you Brother❤️

  • @narutofan4545
    @narutofan4545 9 ปีที่แล้ว +10

    thanks pham
    missing a whole week of macro really did a number on me

  • @alecmcmillan2128
    @alecmcmillan2128 ปีที่แล้ว

    on the per-hour example in Jill's case, does it mean that she can either create 3 TVs OR 5 chairs per hour, or is it that in the space of an hour she can create 3 TVs AND 5 chairs?

  • @billiereyes1
    @billiereyes1 12 ปีที่แล้ว +1

    THANKS SO MUCH BECAUSE I WAS SO CONFUSED BUT NOW YOU HAVE GIVEN ME CLARITY :-)

  • @sepandjazzi
    @sepandjazzi 3 ปีที่แล้ว

    8 years late, but this is awesome!!!

  • @jaejuhira
    @jaejuhira 9 ปีที่แล้ว

    based on your explanation, it shows that no need to sketch the PPF graph to obtain the opportunity cost value if the number that we wanna use is already stated on the table.
    thus, I would like to know if this way is applicable or not in order to find the opportunity cost for the number that is not stated on the table ?

  • @lenaayon737
    @lenaayon737 2 ปีที่แล้ว +1

    you are the real MVP. Thank you

  • @veronicaalarcon2045
    @veronicaalarcon2045 10 ปีที่แล้ว +1

    I have a question: I have a table: truck 0 1 2 3 4 5
    and tank 5 4.5 3.8 3.0 2.0 0
    Opp Cost - - - - - -
    a) Compute the opportunity cost in forgone tanks for each additional truck produced:
    I'm taking the differences as you showed. 1 truck is .5 tanks which once divided isnt changing... what am i doing wrong?

  • @michellearellano5091
    @michellearellano5091 ปีที่แล้ว

    Great video!! Helped teach me what my professors couldn’t

  • @kekenhawak
    @kekenhawak 4 ปีที่แล้ว

    What if you a different numbers when you substract the numbers of chairs? What will you do?

  • @valentinacaravelis8484
    @valentinacaravelis8484 6 ปีที่แล้ว +2

    This was very easy and helpful. It makes so much more sense now thanks

  • @DjDestoza
    @DjDestoza 11 ปีที่แล้ว

    What if i have to calculate combination C?? What do i subtract? Take the Chair column! I can see 5,5 but at the last row, what do i subtract with? You instant reply may save my day!

  • @nutritionscience88
    @nutritionscience88 5 ปีที่แล้ว

    Thank you sooooooo much . I have a test tomorrow and I was totally lost but you explained it very well. Thankssssssss

  • @OFNETWORK-y5c
    @OFNETWORK-y5c 10 หลายเดือนก่อน

    I am a bit confused with the formula used here. How can this be used for scenarios like salaries of A and B, expenses and other benefits? a formula: OC=FO-CO. FO: Return of the FORGONE OPTION. CO: Return of the Chosen Option.

  • @arnavkachroo279
    @arnavkachroo279 7 ปีที่แล้ว

    so very helpful. 1 question. would this work in all cases? i mean assuming im doing it right would it work

  • @Naturalnewbe1
    @Naturalnewbe1 9 ปีที่แล้ว +1

    If you just add one more to both sides like 36 guns then how u calculate butter or if you added 1 butter like 4 then what's the guns

  • @IJayhonI
    @IJayhonI 11 ปีที่แล้ว

    You sir are a life savior!

  • @AVANID-ld3zs
    @AVANID-ld3zs ปีที่แล้ว

    This was so incredibly helpful and so easy to understand

  • @abibayussif1274
    @abibayussif1274 5 ปีที่แล้ว +1

    So if I understand u, it means de numbers can be divided by 5 or 10 ryt

  • @fredielyncunanan3942
    @fredielyncunanan3942 8 ปีที่แล้ว +1

    You made my life so much easier. You are heaven sent! cant thank you enough.

  • @Scripturalnsights
    @Scripturalnsights 8 ปีที่แล้ว

    Thank you so much! Can you provide a brief video on how to plot a graph using two different units that are limited by say 50 labour (collective) hours a day? The units may be entertainment production vs. food production.

  • @gloriinher40s
    @gloriinher40s 2 ปีที่แล้ว

    OMFG I COULD CRY RIGHT NOW. THANK YOU. 😭😭😭😭😭

  • @jannices.a6228
    @jannices.a6228 10 ปีที่แล้ว +11

    I FINALLY GET IT! Thank you this is extremely helpful!:)

  • @mrchowchow110
    @mrchowchow110 4 ปีที่แล้ว +1

    Thank you so much! Studying for AP Macro was smooth sailing until I just could NOT wrap my head around this!

  • @emmacho2580
    @emmacho2580 9 ปีที่แล้ว +1

    Thank you! you explained much better than my professor.

  • @MrRazpants
    @MrRazpants 11 ปีที่แล้ว

    Is this referring to marginal opportunity cost or total opportunity cost?

  • @dancinglikecrazy5510
    @dancinglikecrazy5510 4 ปีที่แล้ว

    I dont understand why i wasnt understanding how to calculate this but now i do thanks

  • @mainel6486
    @mainel6486 9 ปีที่แล้ว

    I'm sorry but why is it necessary to use subtraction for the first problem? How is it different from the second problem? Could someone clarify this please?

  • @Mount_Miskan
    @Mount_Miskan 6 หลายเดือนก่อน

    how do you write vertically?

  • @bryceholevas6749
    @bryceholevas6749 9 ปีที่แล้ว

    this just made my life so much easier

  • @Munistic
    @Munistic 4 ปีที่แล้ว

    THANK YOU SO MUCH! my professor does not teach at all and only shows us images on lectures. This helped a lot

  • @thebiermanbrothers6241
    @thebiermanbrothers6241 4 ปีที่แล้ว

    Soooo helpful thank you so much my man! God bless!

  • @a45williams
    @a45williams 8 ปีที่แล้ว +5

    Cody, the man is trying to help, and all you see or hear his voice tone? The problem is not him, but you.

  • @Ikelley124
    @Ikelley124 11 ปีที่แล้ว

    Wow you make it so easy to understand, thank you!

  • @tatyanagrossett8002
    @tatyanagrossett8002 4 ปีที่แล้ว

    How do you know when to calculate the difference and when not to??? In step 1

  • @harrygaul4475
    @harrygaul4475 4 ปีที่แล้ว

    The video is great but it's missing the graphical pictures of the slope.

  • @dzezud7674
    @dzezud7674 2 ปีที่แล้ว

    I can't believe it can be this good

  • @MrLittledirector
    @MrLittledirector 6 ปีที่แล้ว

    What a Top Class Legend you are! Only you could explain it properly

  • @xbuzzedx
    @xbuzzedx 10 ปีที่แล้ว +31

    Sounds like Chris Griffin

    • @FreeEconHelp
      @FreeEconHelp  10 ปีที่แล้ว +5

      thanks? :)

    • @ToriAndDada
      @ToriAndDada 10 ปีที่แล้ว +6

      Free Econ Help you really do sound like chris griffin , but thanks that was extremely helpfull

    • @carnoises86
      @carnoises86 6 ปีที่แล้ว

      Michael a little

  • @MotherMonstersBaby
    @MotherMonstersBaby ปีที่แล้ว

    Our teacher used the exact same example but I needed a reminder of whether the differences were used in the division or the actual number of chairs and TVs so thank you 😅

  • @romero2g4u
    @romero2g4u 10 ปีที่แล้ว +2

    OMG! This is so SIMPLE! Thank you!

  • @elicezanker
    @elicezanker 6 ปีที่แล้ว +3

    Thank you so much, you've made it so easy to understand. Super grateful!

  • @staceyjezek1828
    @staceyjezek1828 11 ปีที่แล้ว

    Made it SO easy to understand! Thank you!

  • @kamakazebunny
    @kamakazebunny 9 ปีที่แล้ว

    Great video and example. Got confused reading my notes, so I had to look this up. lol

  • @JDG.RealEstate
    @JDG.RealEstate ปีที่แล้ว

    I'm applying this process and the online test still says it is wrong

  • @DuhItsMeLeo
    @DuhItsMeLeo 12 ปีที่แล้ว

    Thanks! Couldn't have done my homework with out it lol.
    And also SUBSCRIBED lol because I know I'll need more help through my econ course.

  • @thelongboarder10
    @thelongboarder10 11 ปีที่แล้ว

    what if the difference is not constant?

  • @AGloriousLife
    @AGloriousLife 11 ปีที่แล้ว

    OMG! Thank you for explaining this so clearly!

  • @reybambampow3514
    @reybambampow3514 6 ปีที่แล้ว +1

    Bro I would buy you lunch if you lived near me. Best video on here showing how to calculate OC

  • @nnam52easy64
    @nnam52easy64 10 ปีที่แล้ว +1

    I need help

  • @all_might6688
    @all_might6688 3 ปีที่แล้ว +2

    Way better than my textbook's explanation! Thank you so much for helping me get an A+ on my ECO test :')

  • @evanthompson3727
    @evanthompson3727 10 ปีที่แล้ว

    Final exam is in an hour...Good to go!

  • @Astuslinux
    @Astuslinux 5 ปีที่แล้ว

    Wonderful nice professor .well explained ... thanks alot

  • @joaquinzanabria9859
    @joaquinzanabria9859 4 ปีที่แล้ว

    thank you for this!! truly helped me before my Macro Quiz! Bless!!!!!

  • @JSandwich13
    @JSandwich13 5 ปีที่แล้ว +1

    My lecturer explained this but it's confusing so thanks for this

  • @fatimamitu4809
    @fatimamitu4809 3 ปีที่แล้ว

    thanks for this video! Helped me a lot

  • @chascagirl
    @chascagirl 12 ปีที่แล้ว

    he kinda sounds like the asian guy from perfect score...thumbs up dude!!;)

  • @kvsrajeev
    @kvsrajeev 10 ปีที่แล้ว +1

    Thanks much for sharing your knowledge on youtube.

  • @shirleywalker9722
    @shirleywalker9722 11 ปีที่แล้ว

    Thanks so much, I have scored low on my test more than once because my teacher couldn't explain this simple equation to me.

  • @yourneighbour5738
    @yourneighbour5738 4 ปีที่แล้ว +1

    Funny you pay to go for formal education that doesn't actually teach you how but this guy teaches you how for free

  • @Filming-and-Stuff
    @Filming-and-Stuff 9 ปีที่แล้ว +2

    Extremely helpful - thank you

  • @pupumipubx9584
    @pupumipubx9584 8 ปีที่แล้ว

    Thank you so much. I understand O.C a lot better now.

  • @smilgadp
    @smilgadp 8 ปีที่แล้ว

    Thank you very much for sharing this video!
    All the Best

  • @mohmudgaryare6024
    @mohmudgaryare6024 5 ปีที่แล้ว +1

    Thank you so muchhhhhh, i have a quiz today and i was really confused.

  • @makatlehomoorosi2461
    @makatlehomoorosi2461 2 ปีที่แล้ว

    This is what I learned in class but more easier

  • @Bradlyhowland
    @Bradlyhowland 8 ปีที่แล้ว

    Very helpful video - thanks for sharing.

  • @ukareben3297
    @ukareben3297 ปีที่แล้ว

    Thank you so much. It help me to understand.

  • @dumpster9048
    @dumpster9048 7 ปีที่แล้ว

    You have a really lovely pen. I like it

  • @thecrunchyrunner5321
    @thecrunchyrunner5321 8 ปีที่แล้ว +1

    This is so helpful thank you so much!

  • @Kenzirs
    @Kenzirs 4 ปีที่แล้ว

    Man you are the awesome. thanks for the help.

  • @tritonejack
    @tritonejack 11 ปีที่แล้ว

    wow ! u saved me !! thanks and nice video.

  • @bongiwethusi7501
    @bongiwethusi7501 11 ปีที่แล้ว

    NICE AND SIMPLE EXPLANATION...tanx

  • @hasibsaayed603
    @hasibsaayed603 4 ปีที่แล้ว

    Very Helpful! Thank you!

  • @MA-rc2eo
    @MA-rc2eo 5 ปีที่แล้ว

    Thank you man you saved me.

  • @harrywu630
    @harrywu630 4 ปีที่แล้ว

    Thank you so much, that's very helpful

  • @sacsac18
    @sacsac18 9 ปีที่แล้ว +1

    Wow. Great method!

  • @boondockscentral1
    @boondockscentral1 4 ปีที่แล้ว

    explained very well thank you

  • @Ferdinaand
    @Ferdinaand 8 ปีที่แล้ว

    Great, helpful video !

  • @aaqilhussaini8474
    @aaqilhussaini8474 8 ปีที่แล้ว

    great your method rocks !!

  • @sabeehashahid5374
    @sabeehashahid5374 4 ปีที่แล้ว +1

    omg it was soo easy to understand but the teacher won't agree if I didn't show the steps or working that how I got that answer

  • @chrisem060591
    @chrisem060591 9 ปีที่แล้ว +5

    This was very helpful! I get it!

  • @shroomamiii
    @shroomamiii 4 ปีที่แล้ว

    this is so helpful thank u!!!

  • @ruthgomez9288
    @ruthgomez9288 9 ปีที่แล้ว +4

    love your voice GOD bless you

  • @mesaketadulala9720
    @mesaketadulala9720 9 ปีที่แล้ว +1

    thanks alot mahn, truly helped on an economics tutorial (Y)

  • @lauryn7490
    @lauryn7490 7 ปีที่แล้ว +1

    This helped so much thank you