The need to study economics would cease to exist if
A) the government stopped controlling people's actions.
B) people were free to make decisions on their own.
C) people put forth the effort required to attain the goods and services they wanted.
D) people earned more than they spent.
E) there were enough resources to produce all the goods and services people would like to obtain.

Question

Quizplus · Accepted Answer

The fundamental reason for studying economics is to understand how to allocate scarce resources to satisfy unlimited wants. If there were enough resources to produce all goods and services people desire (choice E), the primary economic problem of scarcity would not exist, eliminating the need for economic study.

The Need to Study Economics Would Cease to Exist If