When economists say scarcity, they mean:
A) there are only a limited number of consumers who would be interested in purchasing goods.
B) the human desire for goods exceeds the available supply of time, goods and resources.
C) most people in poorer countries do not have enough goods.
D) goods are so expensive that only the rich can afford it.

Question

Quizplus · Accepted Answer

Scarcity refers to the situation where the resources available to us are limited, while our wants and needs are virtually unlimited. This is what creates the problem of choice in economics, as we must decide how to allocate our scarce resources among the many competing demands for goods and services. Therefore, option B is the best choice as it accurately reflects this concept.

When Economists Say Scarcity, They Mean