Economic decisions refer to the choices individuals, businesses, and governments make regarding the allocation of resources. These decisions involve weighing the benefits and costs of different options to determine the most efficient use of limited resources, such as money, time, and labor. Factors influencing economic decisions include supply and demand, market trends, and personal preferences. For example, a family may decide to spend their budget on groceries instead of entertainment, while a business might choose to invest in new technology to improve productivity. These choices ultimately shape the economy and affect overall well-being.