The problem of scarcity applies
A)to all countries,regardless of their level of development.
B)only in industrially developed countries because resources are scarce in these countries.
C)only in developing countries because resources are scarce in these countries
D)only in countries that are over-populated
E)only in countries that use natural resources in most of their production processes

Question

Quizplus · Accepted Answer

The problem of scarcity applies to all countries, regardless of their level of development, because resources are finite while human wants and needs are infinite. Therefore, every country has to make choices about how to allocate its limited resources to fulfill its unlimited wants, which leads to the problem of scarcity.

The Problem of Scarcity Applies