In economic life, the choice among alternatives depends on the?

1. Analyze the question The question asks what the choice among alternatives depends on. This is about the economic problem of choice: because wants are unlimited and resources are limited, people must choose.

2. Explain the concept

• Scarcity is the reason choice is necessary. It creates the need to choose.
• Scale of preference is a list of a person's wants arranged in order of importance, from the most urgent to the least urgent. It is the guide a person uses when choosing among alternatives.
• Income limits what a person can afford, but it does not decide which alternative the person prefers.
• Status is not a direct basis for economic choice.

3. Step-by-step solution

• Option A (income): This sets the budget limit, not the ranking of alternatives. Two people with the same income can choose differently.
• Option B (scarcity): This explains why we must choose, but it does not decide which alternative is picked.
• Option C (scale of preference): This ranks wants by priority. The decision maker picks the alternative at the top of their ranking that they can afford. The choice therefore depends on it.
• Option D (status): This is not a standard determinant of economic choice.

4. Answer The correct option is C. the scale of preference of the decision-maker.

5. Exam tip Use this memory line: "Scarcity forces the choice; the scale of preference makes the choice." If a JAMB question asks why we choose, think scarcity. If it asks what the choice depends on, think scale of preference.