Which of the following statements about the economic decisions consumers, firms, and the government have to make is false?
A)Governments face the problem of scarcity in making economic decisions.
B)Only individuals face scarcity; firms and the government do not.
C)Both firms and individuals face scarcity.
D)Each faces the problem of scarcity which necessitates trade-offs in making economic decisions.

Question

Quizplus · Accepted Answer

All economic agents, including individuals, firms, and governments face the problem of scarcity in making economic decisions. Scarcity is the fundamental problem of economics that arises from the limited resources and unlimited wants. Therefore, option B is false because firms and governments also face the problem of scarcity.

Which of the Following Statements About the Economic Decisions Consumers