ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Every decision has trade-offs. First, every decision has trade-offs. Because scarcity exists, we have to decide what the best use of our limited time and resources is. With each choice there is something we must give up.

Detailed explanation-2: -A tradeoff is loosely defined as any situation where making one choice means losing something else, usually forgoing a benefit or opportunity. We experience tradeoffs in zero-sum situations when a plus in one area must be a negative in another.

Detailed explanation-3: -Trade-offs refer to the decision-making process to choose between several viable alternatives. Trade-offs occur when unlimited wants meet limited resources. The importance of a trade-off is that it is how economic agents choose the best alternative among several options.

Detailed explanation-4: -: a giving up of one thing in return for another : exchange. trade off transitive verb.