Microeconomics Scarcity

The main cause of economic problem is

• Unlimited resources

• Scarcity of resources

• Scarcity of wants

Resources are

• Limited

• Unlimited

Wants are __

• Limited

• Unlimited

Basic Economic Problem: Mismatch of unlimited wants and needs and unlimited economic resources.

• True
• False

What do economists mean by the term "scarcity"?

• Having too few or too little of resources

• Having too many resources

• Having just enough resources

• Having the correct amount of resources

Which choice best describes the economic problem of scarcity in the world?

• People have limited wants there is an unlimited amount of resources.

• People have unlimited wants but there is a limited amount of resources

• People have no wants so resources don't matter

Which of these is a want?

• Designer clothes

• Clothes

• Water

• Food

What could be a reason why we have "unlimited" wants and needs?

• We long to live comfortably

• We want our lives to be miserable

• We do not have the urge to own anything

• We want to create problems for ourselves

What does scarcity mean to humans?

• that we have to act irrationally

• that we need to use up all our resources for our comfort

• that we have to use our resources efficiently so that needs and wants are satisfied

• that we have to not use our resources at all because we will run out them if we keep using them

TRUE or FALSE: We can have everything that we want because we have unlimited resources.

• TRUE

• FALSE