The study of economics exists because:
A)government interferes with the efficient allocation of scarce resources.
B)resources are scarce in relation to human material wants.
C)the market system is an obstacle to the efficient use of plentiful resources to satisfy constrained wants.
D)resources are overly abundant as compared to wants; thus, an allocation problem exists.

Question

Quizplus · Accepted Answer

Economics is the study of how society manages its scarce resources. Resources are scarce in relation to human material wants, which creates the need to allocate them efficiently. Therefore, option B is the correct answer. The other options are either incorrect or do not accurately describe the rationale for the study of economics.

The Study of Economics Exists Because