The 'big tradeoff' refers to
A) efficiency and fairness.
B) taking an economics course instead of some other course.
C) marginal benefit versus marginal cost.
D) producing capital goods instead of consumable goods.
E) using market prices rather than a command system to allocate resources.

Question

Quizplus · Accepted Answer

The 'big tradeoff' is commonly referred to as the tradeoff between efficiency and fairness. It states that in order to achieve greater efficiency in an economy, some degree of fairness must be sacrificed, and vice versa. This tradeoff is a fundamental concept in economics and is central to many debates about economic policy.

The 'Big Tradeoff' Refers to