Welcome to Economics 101 the podcast where we break down complex economic ideas into practical insights for everyday life. In today’s episode, we’re diving into the foundations of economic decision-making. Whether you’re a student, a professional, or just curious about the forces shaping our world, these principles will help you better understand the choices we all make—big or small. We’ll explore the four core principles of economics that serve as a guide to optimal decision-making. From evaluating costs and benefits to understanding the ripple effects of individual decisions, these concepts are designed to help you think like an economist. Here’s what’s on the agenda:

• The Cost-Benefit Principle: Why every choice you make should maximize your economic surplus and how to avoid being misled by framing effects.
• The Opportunity-Cost Principle: Why trade-offs matter, and how ignoring sunk costs can sharpen your decision-making.
• The Marginal Principle: The secret to incremental decision-making and how the rational rule can keep you on track.
• The Interdependence Principle: How our choices are interconnected—whether through markets, time, or competing priorities—and why asking "What else?" is the key to seeing the bigger picture.

By the end of this episode, you’ll have a clear understanding of how these principles work together to create a powerful framework for navigating economic complexities. So, grab your coffee, get comfortable, and let’s unravel the art of decision-making through the lens of economics.