Hello, guys welcome to a new blog I was recently shopping on Amazon , when I was left in a confusion to buy between two types of goods whether to buy a watch or a new t-shirt when I thought that this would be the problem of all around the world i.e. how to satisfy your wants with limited resources first of all this is the basic idea around which economics revolve getting maximum satisfaction with limited number of resource.
Not like that, but how can you satisfy both of your wants? the answer lies in the commonly used word in economics utility,
by seeing utility you can easily make a better choice.
For example, in my case, there was a tradeoff between a watch and a t-shirt so what should I opt to get maximum satisfaction when I inspected my wants I came to a conclusion that as I am not in dire need of the two I should wait for a month as a sale was approaching and also by adding some more money(resource) I will be getting a decent product .
There is also a way to choose one over the other but if you could do that we won't be in need of economics or you have resources.
So the key in the given example is that there will be a tradeoff between your two choices so the important thing must be to analyse your wants like if in your workplace mobiles are approachable you can postpone your watch or you have shirts which can replace your want for t-shirts you can use them.
For example a new bike or an I phone so if you have to travel every day you must opt for the bike (assuming that your current phone is in decent condition) or if you have a mediocre bike and you wanted a phone but if you buy an I phone your need of status symbol will also be satisfied you should opt for the phone.
So guys apply it in your course of life and see if you get to benefit from it, if you get some, please Comment and Share.
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