Essential Question: What is the most efficient and optimal use of our scarce resources? Scenarios Directions: With a partner read each scenario below. Then decide what the person should do next. Record your response in the space below the scenario. Scenario #1 Tabitha pays for a movie theatre ticket to see the latest movie. She knows that the theatre will not give her money back under any circumstance once she buys the ticket. Knowing this, she walks into the theatre and the movie begins. She realizes about 20 minutes into the movie that it’s truly terrible. In fact, she’s got little hope that it will improve in the next 70 minutes. What should Tabitha do?
Answer (1)
Tabitha should leave the movie if she is not enjoying it. The money she spent on the ticket is already gone—this is called a sunk cost. Continuing to watch just because she paid will only waste her time, which is also a scarce resource. The most efficient use of her resources is to spend her time doing something more enjoyable or productive instead of staying in a movie she doesn’t like. In other words, she should focus on the benefit of her time now rather than the money already spent.
