Scarcity:
A) exists in command economies.
B) exists in market economies.
C) exists only in economies in which there is poverty.
D) (a) and (b) above are correct

Question

Quizplus · Accepted Answer

Scarcity is a fundamental economic problem that exists in both command and market economies. It is not limited to economies in poverty but rather exists due to the unlimited wants/needs of individuals and societies coupled with limited resources to fulfill them. Therefore, option D, which states that scarcity exists in both command and market economies, is the correct answer.