Learning Path
Question & Answer1
Understand Question2
Review Options3
Learn Explanation4
Explore TopicChoose the Best Answer
A
Unlimited resources available for consumption
B
A situation where resources are limited while human wants are unlimited
C
The ability to produce goods without limitations
D
A condition of surplus in the market
Understanding the Answer
Let's break down why this is correct
Answer
In economics, the term 'scarcity' refers to the limited availability of resources that people want and need. This means that there is not enough of something, like money, time, or materials, to satisfy everyone's desires. For example, if a farmer can only grow a certain amount of apples each year, but many people want to buy apples, then apples are scarce. Because of scarcity, choices must be made about how to use resources effectively, which can lead to trade-offs. Understanding scarcity helps us see why we cannot have everything we want and why we must prioritize our needs.
Detailed Explanation
Scarcity means there are not enough resources to satisfy all our wants. Other options are incorrect because This choice suggests there are endless resources, which is not true; This option implies we can produce anything without limits.
Key Concepts
scarcity
Topic
Scarcity in Economics
Difficulty
easy level question
Cognitive Level
understand
Ready to Master More Topics?
Join thousands of students using Seekh's interactive learning platform to excel in their studies with personalized practice and detailed explanations.