The economizing problem faced by a society is:
A) To achieve a more equitable distribution of income in the society
B) A consequence of the fact that productive resources are scarce relative to economic wants
C) To establish prices which are fair for both producers and consumers
D) That product prices often rise more rapidly than incomes of consumers

Question

Quizplus · Accepted Answer

The economizing problem refers to the situation where there are limited resources to satisfy unlimited wants. This is because productive resources such as land, labor, and capital are scarce in relation to the desires of people. Therefore, societies must make choices about how to allocate these limited resources to meet their most pressing needs and wants. Options A, C, and D do not accurately capture this fundamental economic problem.

The Economizing Problem Faced by a Society Is