Making Choices
Frankie has a strict weekly budget and has only enough
money this week to make one large purchase. Before he
saw the condition of his old basketball shoes, he was
planning to purchase a new winter coat that he saved for
over several weeks. Now, Frankie must choose if he is
going to purchase the new shoes and wear his older
winter coat, or vice versa.
In this scenario, Frankie must consider whether making
one choice will force him to give up another.
Based on what you have read, which economic
concept is Frankie faced with?
o needs vs. wants
O opportunity cost
O risk and return
goal setting
✓ Done