Decision-making
Definition
Decision-making refers to the process of selecting among alternative courses of action. It involves evaluating different options based on their costs and benefits to make choices that maximize utility or achieve specific goals.
Related terms
Marginal Analysis: Examining the costs and benefits of producing or consuming one additional unit of a good or service.
Rational Choice Theory: A framework that assumes individuals make decisions by comparing costs and benefits to maximize their well-being.
Trade-offs: Sacrifices made when choosing one option over another due to limited resources or conflicting objectives.
"Decision-making" appears in:
Subjects (4)
AP European History
AP Human Geography
AP Psychology
AP US Government
Practice Questions (1)
Why are trade-offs necessary in decision-making when faced with scarcity and limited resources?
Are you a college student?
Study guides for the entire semester
200k practice questions
Glossary of 50k key terms - memorize important vocab
About Us
About Fiveable
Blog
Careers
Code of Conduct
Terms of Use
Privacy Policy
CCPA Privacy Policy
Resources
Cram Mode
AP Score Calculators
Study Guides
Practice Quizzes
Glossary
Cram Events
Merch Shop
Crisis Text Line
Help Center
Stay Connected
© 2024 Fiveable Inc. All rights reserved.
AP® and SAT® are trademarks registered by the College Board, which is not affiliated with, and does not endorse this website.
About Us
About Fiveable
Blog
Careers
Code of Conduct
Terms of Use
Privacy Policy
CCPA Privacy Policy
Resources
Cram Mode
AP Score Calculators
Study Guides
Practice Quizzes
Glossary
Cram Events
Merch Shop
Crisis Text Line
Help Center
© 2024 Fiveable Inc. All rights reserved.
AP® and SAT® are trademarks registered by the College Board, which is not affiliated with, and does not endorse this website.