Learning Path
Question & Answer1
Understand Question2
Review Options3
Learn Explanation4
Explore TopicChoose the Best Answer
A
Consumers will always choose the most expensive option available.
B
Scarcity leads consumers to prioritize their needs over wants when choices are limited.
C
Consumers ignore scarcity and purchase items based solely on advertisements.
D
Scarcity has no impact on consumer choices in a free market.
Understanding the Answer
Let's break down why this is correct
Answer
Scarcity means that there are limited resources or goods available, which affects how consumers make choices. When something is scarce, people have to decide whether they really need it or if they can do without it. For example, if a popular toy is in short supply during the holiday season, parents might have to choose between spending more money on that toy or finding a different gift that is easier to get. This situation can lead consumers to prioritize their needs and consider alternatives, showing how scarcity forces them to think carefully about their purchases. Ultimately, scarcity shapes the market by influencing both the prices of goods and the decisions consumers make.
Detailed Explanation
When there isn't enough of something, people must decide what they really need. Other options are incorrect because Some might think that higher prices mean better choices; It's a common belief that ads control what we buy.
Key Concepts
choice
supply and demand
Topic
Understanding Scarcity
Difficulty
medium level question
Cognitive Level
understand
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