The scarcity problem: A

Economics Dec 09, 2020

The scarcity problem:

A. persists only because countries have failed to achieve continuous full employment.

B. persists because material wants exceed available productive resources.

C. has been solved in all industrialized nations.

D. has been eliminated in affluent societies such as Australia.

Expert Solution

The correct option is (b).

The scarcity problem persists because material wants exceed available productive resources.

The whole study of economics revolves around unlimited human wants and limited resources. There is always a tradeoff between unlimited wants and limited available resources. The limited resources and unlimited wants lead to the problem of scarcity.

Archived Solution

Unlocked Solution

You have full access to this solution. To save a copy with all formatting and attachments, use the button below.

Already a member? Sign In

Important Note: This solution is from our archive and has been purchased by others. Submitting it as-is may trigger plagiarism detection. Use it for reference only.

For ready-to-submit work, please order a fresh solution below.

Or get 100% fresh solution

Get Custom Quote