An economy is associated with every productive society because
A) in every society there are workers and owners of firms
B) all people enjoy consuming goods
C) the law of scarcity is universal
D) the circular flow model applies to all societies
E) economy and society are synonymous

Question

Quizplus · Accepted Answer

The law of scarcity is universal, meaning that all societies must deal with the problem of having limited resources to meet unlimited wants and needs. This fundamental economic problem necessitates the existence of an economy within every productive society to allocate resources efficiently.

An Economy Is Associated with Every Productive Society Because