Which of the following statements is true?
A) Gold is not a scarce resource.
B) Both life-saving drugs and ice cream are examples of scarce goods.
C) If a scarce resource is given away for free, everyone will be able to consume it.
D) Scarcity means that there is an imbalance between unlimited resources and limited wants.

Question

Quizplus · Accepted Answer

Scarcity refers to the basic economic problem that arises because resources are limited while wants are unlimited. Both life-saving drugs, which are crucial for health, and ice cream, a non-essential good, are considered scarce because their availability is limited in comparison to the demand for them.

Which of the Following Statements Is True