📚 Learning Guide
Trade-offs in Economics
easy

If a government decides to allocate more resources to education, what is the likely economic trade-off?

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Learning Path
Learning Path

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Choose the Best Answer

A

Reduced funding for healthcare

B

Increased employment rates

C

Lower taxes for citizens

D

Enhanced public infrastructure

Understanding the Answer

Let's break down why this is correct

Answer

When a government decides to allocate more resources to education, it often has to take money away from other areas, like healthcare or infrastructure. This is because resources like money and time are limited, so increasing funding for one area usually means cutting back in another. For example, if a government invests more in schools, it might have less available to fix roads or improve hospitals. This trade-off means that while education may improve, other services could suffer, which can impact people's daily lives. Understanding these trade-offs helps us see that every choice has benefits and costs.

Detailed Explanation

When the government spends more on education, it has less money for other areas. Other options are incorrect because Some might think that more education automatically means more jobs; People might believe that spending more on education means taxes will go down.

Key Concepts

Trade-offs in Economics
Scarcity of Resources
Opportunity Cost
Topic

Trade-offs in Economics

Difficulty

easy level question

Cognitive Level

understand

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