The assertion that "there is no free lunch" means that:

A) there are always trade-offs between economic goals.
B) all production involves the use of scarce resources and thus the sacrifice of alternative goods.
C) marginal analysis is used in economic reasoning.
D) choices need not be made if behavior is rational.

Scarce Resources

Resources that are limited in supply and cannot meet all the wants and needs of a society.

Trade-offs

Decisions that involve sacrificing one goal or benefit in order to gain another, often used in the context of economic and financial planning.

Free Lunch

An expression that suggests there is no such thing as a benefit without a corresponding cost, even if the cost is not immediately apparent.