ECONOMICS
SCARCITY
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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“There Is No Such Thing As A Free Lunch”
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“There Is No Such Thing As A Fruit Loop"
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Either A or B
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None of the above
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Detailed explanation-1: -"There ain’t no such thing as a free lunch” (TANSTAAFL) is a phrase that describes the cost of decision-making and consumption. TANSTAAFL suggests that things that appear to be free will always have some hidden or implicit cost to someone, even if it is not the individual receiving the benefit.
Detailed explanation-2: -There are two meanings of the expression, “There Ain’t No Such Thing as a Free Lunch.” The first, which is always true, is that there is scarcity, and scarcity necessitates tradeoffs. The second, which is almost always true, is that when someone offers you something “for free, ” he expects something in return.
Detailed explanation-3: -used to say that it is not possible to get something that is desired or valuable without having to pay for it in some way.
Detailed explanation-4: -Economists use the phrase “There is no such thing as a free lunch, ” to illustrate the principle that making decisions requires trading off one goal against another. There is an opportunity cost of every decision that is taken. Since resources are limited in comparison to the wants, all wants cannot be fulfilled.
Detailed explanation-5: -Nobel prize-winning economist Milton Friedman is best-known for his unwavering belief in free enterprise and opposition to state intervention in business and trade. He passed away in San Francisco at the age of 94 on November 16, 2006.