Explain why the right trade-offs are important for your spending. Give five examples of trade-offs you might have to make when you first graduate from high school. Rank these in order of importance and tell why you ranked them in that order.

In economics, a trade-off is defined as an "opportunity cost." For example, you might take a day off work to go to a concert, gaining the opportunity of seeing your favorite band, while losing a day's wages as the cost for that opportunity.

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