What is scarcity?(1 point)
Responses
a the difference between the income and expenses of a government
b the idea that all resources are limited
c the amount that people want a certain good or service to be
d the idea that some resources are limited
d the idea that some resources are limited
Correct! Scarcity refers to the fact that some resources are limited and cannot be produced or obtained in infinite quantities. This means that people must make choices about how to use these resources, as they cannot have everything they want.
b the idea that all resources are limited
The answer to the question is option d: the idea that some resources are limited. Scarcity refers to the limited availability of resources in relation to the unlimited human wants and needs. It is a fundamental economic concept that recognizes that there are not enough resources to satisfy all of society's desires.
To arrive at this answer, you can break down each option and eliminate the incorrect ones:
a) The difference between the income and expenses of a government has to do with government finances and is not directly related to scarcity.
b) This option correctly states that all resources are limited. However, scarcity refers specifically to the idea that some resources are limited, not all resources.
c) The amount that people want a certain good or service to be does not fully capture the concept of scarcity, as it does not encompass the limited nature of resources.
d) This option accurately defines scarcity as the idea that some resources are limited. Therefore, it is the correct answer.
By reasoning through the definitions and concepts associated with each option, you can identify the answer more effectively.