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No. The initial cost is a sunk cost that he has paid regardless of whether or not he takes the flight. He's already certain that he's not taking the flight, so
by ohwaitnvm 16y ago
No. The initial cost is a sunk cost that he has paid regardless of whether or not he takes the flight. He's already certain that he's not taking the flight, so he has only the options:
[ ] Get Refund
[x] Attempt to make a point
The first pays out $49; the second $0.
The opportunity cost of the second in relation to the first is $49, not $199.
The questionable part of that is the $450 he claims to be costing the airline.
- notahacker 16y agoThe opportunity cost faced by the blogger is entirely irrelevant to United though. They've gained a real $199 in revenue from him which is all their records will show; he's sacrificing a potential $49 rebate to convince himself he's depriving them of a hypothetical $450 from a most-likely-nonexistant last minute customer.