BUSINESS ADMINISTRATION
BUSINESS ECONOMICS
|
Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
|
|
|
satisfied, unsatisfied
|
|
|
limited, unlimited
|
|
|
unlimited, limited
|
|
|
necessary, unnecessary
|
Detailed explanation-1: -Human wants are unlimited. we may satisfy some of our wants but soon new wants arise. It is impossible to produce goods and services so as to satisfy all wants of people. Thus scarcity explains the relationship between limited resources and unlimited wants and the problem there in.
Detailed explanation-2: -The economic problem of scarcity arises because needs and wants are unlimited and the resources (or means) to fulfil these wants are limited. The statement is indeed true. We have unlimited needs and wants, on the one hand, and scarce resources, on the other, which leads to scarcity.
Detailed explanation-3: -Human wants are unlimited and resources to satisfy these wants are limited and these limited resources have alternative uses. ‘ Scarcity of resources’ implies that there are unlimited wants to be fulfilled by limited resources which leads to the lesser supply of resources as compared to the demand for them.
Detailed explanation-4: -Since human wants are unlimited, and resources used to satisfy those wants are limited-there is scarcity.