trade-offs are alternatives that people give up when they choose one course of action over another.

Who makes trade-offs?

Why do decisions involve trade-offs?

Everyone makes trade-offs every day. Do you stay in bed an extra ten minutes, or do you get up so you have plenty of time to get ready? Do you eat junk food for lunch because it tastes good, or do you eat a healthy salad? Do you buy a new video game, or do you save your money for something else?

How would you answer the second question?

because if you choose one this you give up another.

Right! :-)

Trade-offs are made by individuals, organizations, and even societies when they have to make choices between different options or courses of action.

Decisions involve trade-offs because resources are limited and not every desire or need can be fulfilled at the same time. This concept is based on the principle of scarcity, meaning that there is a finite amount of resources available. As a result, when making decisions, individuals or organizations must consider the opportunity cost of choosing one option over another. Opportunity cost refers to the value of the next best alternative that is given up when making a choice. In other words, trade-offs are necessary because by choosing one course of action, people inevitably have to sacrifice or forego the benefits or advantages of other possible choices.