In the economic sense, almost everything is scarce.________ of a good or service occurs when the quantity demanded is greater than the quantity supplied at the current market price.

Question

Quizplus · Accepted Answer

When the quantity demanded is greater than the quantity supplied at the current market price, it creates a shortage. Scarcity refers to the fundamental economic problem of limited resources relative to unlimited wants and needs. A surplus occurs when the quantity supplied is greater than the quantity demanded at the current market price. An overstock is not an economic term and is not related to supply and demand.

In the Economic Sense, Almost Everything Is Scarce