BUSINESS ADMINISTRATION
BUSINESS ECONOMICS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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The resources required to satisfy our unlimited wants and needs are finite, or scarce.
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It is critical to understand how we can best allocate our scarce resources to satisfy society’s unlimited wants and needs
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Resources have alternative uses
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All of the above
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Detailed explanation-1: -Economists regard decision making as important because: (a) The resources required to satisfy our unlimited wants and needs are finite, or scarce. (b) It is crucial to understand how we can best allocate our scarce resources to satisfy society’s unlimited wants and needs.
Detailed explanation-2: -Economists focus on the opportunity costs of choices, they assume that individuals make choices in a way that maximizes the value of an objective defined in terms of their own self-interest, and they assume that individuals make those choices at the margin.
Detailed explanation-3: -Economic Decisions: In economics, decisions are essential because they highly contribute to ensuring effective resource allocation, which helps boost the economy in the right direction.
Detailed explanation-4: -The three basic decisions made by all economies are what to produce, how it is produced, and who consumes it.
Detailed explanation-5: -The economic theory of political decision-making is concerned with the determinants and effects of decision-making in the political sphere of a society.