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Vladimir79 [104]
3 years ago
7

The Environmental Protection Agency is considering an order that a 500-acre area on the outskirts of a large city be preserved i

n its natural state, because the area is home to a rodent that is considered an endangered species. Developers had planned to build a housing development on the land
Business
1 answer:
Usimov [2.4K]3 years ago
5 0

Answer:

The 500-acre area is scarce because it has alternative uses: preservation in its natural state or a site for homes. A choice must be made between these uses. The opportunity cost of preserving the land in its natural state is the forgone value of the land as a housing development. The opportunity cost of using the land as a housing development is the forgone value of preserving the land.

Explanation:

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