Title: Why does every decision involve trade offs?
Headings: Why does every decision involve trade offs?
Why does every decision involve trade offs?
Content: Opportunity cost is the most desirable alternative given up as the result of a decision. Likewise, how does the phrase guns or butter expresses the principle of trade offs? it shows when you decide to pproduce one thing over the other you give up the time and resouces to make the other thing. Similarly one may ask, why do all economic decisions involve trade offs quizlet? No matter what the decision is you are giving up an another benefit to achieve the new one. If you put more money toward guns then you are giving up another benefit which is a trade off. Why does every decision have an opportunity cost? Because there are always alternative uses for limited resources, every decision has an opportunity cost. For producers, the opportunity cost is the most valuable good or service that is not produced as a result of the decision to produce something else. Opportunity cost can be related to decisions to save or consume.