In decision theory, a binary choice refers to a situation in which a decision has to be made between only two options, usually identified as "yes" or "no," "accept" or "reject," or "on" or "off". Binary choices are often used in a variety of contexts, including finance, economics, politics, and computer science. In finance, for example, a binary choice may involve deciding whether to invest in a particular stock or not, while in politics, a binary choice may involve deciding to vote for a certain candidate or not. Binary choices are also frequently used in computer programming and engineering to represent alternatives for processes and functions. Ultimately, the key characteristic of a binary choice is that there are only two possible outcomes, each with its own set of consequences.
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