The trade-offs facing consumers include:
A) how to allocate income across goods and serves.
B) how to allocate income between consumption and savings.
C) both A and B
D) none of the above

Question

Quizplus · Accepted Answer

Consumers face the trade-offs of how to allocate their income between purchasing different goods and services and between consumption and savings. Both of these decisions involve giving up one option in favor of another, which is the essence of trade-offs.

The Trade-Offs Facing Consumers Include