A local government decides to allocate its budget to constructing a new public park instead of upgrading the town's library system. The opportunity cost of this decision is defined as:
the total financial cost of building the new public park
the loss of tax revenue from the area designated for the park
the benefits of the library system upgrades that are foregone
the future maintenance costs associated with both the park and the library
10 exam-style questions on OCR A Level Economics Opportunity cost. Each one has a worked solution and a mark scheme showing where the marks go.