BUSINESS ADMINISTRATION
BUSINESS ECONOMICS
|
Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
|
|
|
There are unlimited resources to satisfy our limited needs and wants
|
|
|
It is very difficult to learn
|
|
|
There are too many producers and not enough consumers
|
|
|
There are limited resources to satisfy our unlimited needs and wants
|
Detailed explanation-1: -One of the defining features of economics is scarcity, which deals with how people satisfy unlimited wants and needs with limited resources.
Detailed explanation-2: -Scarcity means individuals, businesses and governments have to deal with the problem of unlimited wants, but limited resources. Every economic system, from capitalism to socialism, has to deal with the problem of scarcity whereby the demand is greater than the supply.
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: -All societies face the economic problem, which is the problem of how to make the best use of limited, or scarce, resources. The economic problem exists because, although the needs and wants of people are endless, the resources available to satisfy needs and wants are limited.