Question

John has $2 in his pocket, which he can use to buy a snack or to rent a DVD. John is hungry, which is a(n) _____ to choose the snack. John decides to use the $2 to buy food. So the satisfaction that John gave up by not renting a video was part of the _____ of his decision.

Answer 1

John is hungry, which is a motivating factor to choose the snack. John decides to use the $2 to buy food. So the satisfaction that John gave up by not renting a video was part of the opportunity cost of his decision.

Answer 2

Answer: incentive, opportunity cost