Good Prospects for Mahindra


opportunity cost of the status quo strategy we followed during 1950-62 was the cost involved in the equipment and men lost in 1962, in the shelving of the Third and Fourth Five-Year Plans, etc, etc", (though they do not refer to the same point of time). And the various things he refers to are alternatives that serve different objectives. Further, once it is seen that the objectives served could be different, we can also dispense with the need to differentiate between wartime and peace time economics while applying opportunity cost analysis. And certain alternatives will no more be 'nonsensical'. For to show that certain alternatives are meaningless in a particular context is precisely the purpose of an exercise in opportunity cost analysis. However meaningless they are, they remain alternatives serving particular objectives, and the opportunity cost analysis helps decision-making by showing that certain alternatives are more meaningful than certain others.