How does a successful movie illustrate self-interested choices that are also in the social interest? The Economic Way of Thinking When Costco opened a gas bar just off Highway 401, the neighbourhood...

How does a successful movie illustrate self-interested choices that are also in the social interest?

The Economic Way of Thinking

When Costco opened a gas bar just off Highway

401, the neighbourhood was swamped with cars

as drivers lined up to get the discount of 10 cents

a litre.

a. What is the opportunity cost of a litre of gas?

Explain.

b. To control the crowd, Costco hires traffic

police. What is the tradeoff that Costco faces?