Question

In economics, the phrase "There is no such thing as a free lunch" means what?

Answer 1

Answer:

C) .There are always resources that must be given up to produce and consume the lunch.

Explanation:

The phrase means that in economics, there is nothing that is genuinely free. Every decision has a cost implication that has to be meant by somebody.  In the example of a free lunch,  there is still a cost to be met. Even if a client is not charged for the food, the restaurant owner has to pay for labor and the materials used to prepare the lunch.

The phrase implies that all economic decisions have a cost behind them. Anyone offering anything for free must have a plan of recovering their costs.