Scarcity requires that we:

Question

Quizplus · Accepted Answer

Scarcity refers to the fact that our resources are limited while our wants and needs are unlimited. Therefore, we need to make choices about the best use of our resources. Making rational decisions about how to allocate resources is necessary to address scarcity. Option A is not entirely relevant because we can want and need things that we cannot produce or consume, such as rare or inaccessible resources or consumables. Option B is an incorrect assumption as scarcity is a fundamental economic reality that cannot be simply eliminated through fiscal policy; we may only make changes that alleviate its effects. Option D is not possible as unlimited resources are not a realistic scenario.

Scarcity Requires That We