The trade-offs that are made because of scarcity
A) are important in developing economies,but they do not apply to developed economies.
B) are important in developed economies,but they do not apply to developing economies.
C) are different when they involve the wants of people,but they are similar when they involve the needs of people.
D) can be accurately made to the extent that they can be quantified.
E) depend on the decision maker's value judgments about the relative importance of the alternatives.

Question

Quizplus · Accepted Answer

The trade-offs that are made because of scarcity are subjective and dependent on the decision maker's value judgments about the relative importance of the alternatives. This applies to both developing and developed economies, and they cannot always be accurately quantified. Therefore, option E is the correct choice.

The Trade-Offs That Are Made Because of Scarcity