In economics, a trade-off is defined as
an “opportunity cost
.” For example, you might take a day off work to go to a concert, gaining the opportunity of seeing your favorite band, while losing a day's wages as the cost for that opportunity.
What is an example of a tradeoff in government?
For example, if the government attempts to increase AD by implementing expansionary fiscal policy,
we will get an increase in real GDP and therefore lower unemployment but at the cost of higher inflation
. This is an example of a trade-off between economic growth + unemployment vs inflation.
What is an example of a trade-off in science?
In biology, a trade-off exists when one trait cannot increase without a decrease in another (or vice versa). … A commonly cited example is a
trade-off between the size and number of eggs
that, for example, a fish, bird or turtle can produce in a given clutch.
What is an example of a society trade-off?
Trade-offs emerge when an action, for example, a management intervention, enhances one aspect to the detriment of another. Take for example
a coastal system in which people rely on ecological resources for their livelihoods
. … This is what we call a social-ecological trade-off.
What is trade-off in economy?
The term “trade-off” is employed in economics to refer to
the fact that budgeting inevitably involves sacrificing some of X to get more of Y
. With a fixed amount of savings, one can buy a car or take an expensive vacation, but not both. The car can be “traded off” for the vacation or vice versa.
What is a trade-off give at least one example?
The definition of trade off is an exchange where you give up one thing in order to get something else that you also desire. An example of a trade off is
when you have to put up with a half hour commute in order to make more money
. noun.
What is another word for trade-off?
agreement
.
arrangement
.
compensation
.
contract
.
What are 3 types of trade-offs?
- Money vs Time. 90% of all jobs and promotions are a trade-off between money earned and the time required. …
- Position vs Accountability. …
- Job security vs Opportunity. …
- Travel vs Predictability. …
- Role vs People. …
- Brand vs Scope. …
- Relationships vs Numbers.
What are three examples of important trade-offs that you face in your life?
- after opening the eye at first and of deciding that this world is our rival or a friend.
- choosing the streams English or commerce or Science.
- death as the trade off that we have to face in our life.
What is the meaning of tradeoff?
A trade-off (or tradeoff) is
a situational decision that involves diminishing or losing one quality, quantity, or property of a set or design in return for gains in other aspects
. In simple terms, a tradeoff is where one thing increases, and another must decrease.
What are trade-offs in healthcare?
Trade-Offs Between Health Care And Other Forms Of Spending
For governments, trade-offs mean that
some parts of health care spending are considered public services available to the entire population
, as opposed to straight commodities that are subject only to individuals' choices.
What involves trade-off?
Trade off refers to any sacrifice to get a certain product or experience. As per the economics term, trade off is referred as
opportunity cost
, that is, next best alternative use.
What is the difference between a trade-off and an opportunity cost?
For example, when we sacrifice one thing to obtain another, that's called a trade-off. … Whenever you make a trade-off,
the thing that you do not choose is your opportunity cost
. To butcher the poet Robert Frost, opportunity cost is the path not taken (and that makes all the difference).
What is the importance of trade-offs?
The necessity of making trade-offs
alters how we feel about the decisions we face
; more important, it affects the level of satisfaction we experience from the decisions we ultimately make. One of the most important areas where we need to pay attention to tradeoffs is when we make decisions.
Which kind of economy is most common today?
The
mixed economy
definition is an economy where both the private market and the government control the factors of production. It is the most common form of economy that exists in the world today.
How do you identify trade-offs?
In economics, the term trade-off is often expressed as
an opportunity cost
, which is the most preferred possible alternative. A trade-off involves a sacrifice that must be made to get a certain product or experience. A person gives up the opportunity to buy ‘good B,' because they want to buy ‘good A' instead.
