The problem of scarcity is
A)a problem only for poor countries.
B)a problem only for economies under complete government control.
C)faced by all economies.
D)eliminated as the economy grows.
E)not faced by free market economies.

Question

Quizplus · Accepted Answer

The problem of scarcity is faced by all economies, regardless of their level of development or their economic system. Scarcity exists because resources are limited, while people's wants and needs are unlimited. As a result, choices and trade-offs must be made about how to allocate scarce resources to satisfy competing needs and wants. This is a fundamental economic problem that all societies must grapple with.

The Problem of Scarcity Is