Corner offices in high rise office buildings usually cost more to rent than other offices. This best illustrates the economic principle of: a) opportunity costs. b) scarce resources. c) marginal analysis. d) markets coordinate trade.
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Corner offices in high-rise buildings are typically associated with better views and more natural light, making them more desirable. This demand for prime office space leads to higher rental costs, showcasing how perceived value can affect prices due to limited availability. Ultimately, the principle reflects the relationship between desirability and scarcity in the real estate market. In the realm of office rentals, businesses weigh the costs of leasing a corner office against potential benefits like employee satisfaction and client impressions. This consideration often leads to a willingness to invest more for the location advantage, illustrating how companies engage in decision-making to optimize their workspace—an essential aspect of operating efficiently in a competitive market.