The scarcity problem indicates __________ and the cost-benefit principle indicates __________.
A) that choices must be made;how to make the choices
B) how to make the choices;that choices must be made
C) that choices must be made;just one of many possible ways to make the choices
D) that choices must be made;that the choices will be poor
E) that choices must be made;that the costs can never outweigh the benefits of the choices

Question

Quizplus · Accepted Answer

The scarcity problem indicates that there are limited resources to meet unlimited wants and needs, which requires individuals and society to make choices. The cost-benefit principle suggests that decisions should be made by comparing the costs and benefits of an action to determine if the benefits outweigh the costs. Therefore, the best choice is to prioritize and make decisions based on which option provides the greatest benefits at the lowest cost. Choice A acknowledges the need to make choices and the importance of the cost-benefit analysis in making those choices.

The Scarcity Problem Indicates __________ and the Cost-Benefit Principle Indicates