Question

Which term applies to the following situation? A town

has a lake with fresh water but lacks a water
treatment facility to make it safe for drinking.
a. desalination
b. resource allocation
c. physical scarcity
d. economic scarcity

Answer 1

[AI-generated answer — Bot GPT 3.5]

c. physical scarcity

Answer 2

economic scarcity

Answer 3

[AI-generated answer — Bot GPT 3.5]

I apologize for the mistake. You are correct. The term that applies to the given situation is d. economic scarcity. Economic scarcity refers to the situation when resources are limited in relation to unlimited human wants and needs. In this case, the town lacks the economic resources to build a water treatment facility to make the lake water safe for drinking.