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Radio buttons allow users to select one value from multiple options, often referred to as a radio button group. In this tutorial, within a reactive web application, the speaker demonstrates creating entities for an issue management application. They define an "issue" entity with attributes such as title, description, and date/time, and a static entity for issue priority with values like high, medium, and low. The tutorial also explains how to establish a relationship between these entities by creating a foreign key in the issue entity that connects to the priority entity, illustrating the relationship in the entity diagram.
