Unlimited Needs And Wants And Scarce Resources – Combined

1. Scarcity is a problem in poor countries only.

Think again. The statement is false.

Both poor and rich countries experience scarcity since the problem of scarcity arises because needs and wants are unlimited and the resources (or means) to fulfil these needs and wants are limited. People in rich countries also have wants that are not satisfied. For example, they might want a third car or a bigger house.

The statement is indeed false.

Both poor and rich countries experience scarcity since the problem of scarcity arises because needs and wants are unlimited and the resources (or means) to fulfil these needs and wants are limited. People in rich countries also have wants that are not satisfied. For example, they might want a third car or a bigger house

2. Scarcity is a problem faced by poor households only.

Think again. The statement is false.

Both poor and rich countries experience scarcity since the problem of scarcity arises because needs and wants are unlimited and the resources (or means) to fulfil these needs and wants are limited. People in rich countries also have wants that are not satisfied. For example, they might want a third car or a bigger house.

The statement is indeed false.

Both poor and rich countries experience scarcity since the problem of scarcity arises because needs and wants are unlimited and the resources (or means) to fulfil these needs and wants are limited. People in rich countries also have wants that are not satisfied. For example, they might want a third car or a bigger house

3. 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. In economics we study how a society deals and should deal with this scarcity problem.

Think again.  The statement is true.

We have unlimited needs and wants, on the one hand, and scarce resources, on the other, which leads to scarcity. In economics we study how a society deals and should deal with this scarcity problem.

4. An economy's capacity to produce is limited by the quantity and quality of the available resources.

The statement is indeed true.

Resources are required to produce goods and services. The more and better the quality of the resources, the greater the capacity will be to produce goods and services to satisfy needs and wants.

Think again. The statement is true.

Resources are required to produce goods and services. The more and better the quality of the resources, the greater the capacity will be to produce goods and services to satisfy needs and wants.

5. The economic problem of scarcity can be solved by increasing the productivity of resources.

Think again. The statement is false.

The scarcity problem arises because our needs and wants are unlimited. While an increase in the productivity of our resources increases our capacity to produce more goods and services, it will still not be enough to satisfy all our needs and wants since our needs and wants are unlimited. Our needs and wants will always exceed or outstrip our resources.

The statement is indeed false.

The scarcity problem arises because our needs and wants are unlimited. While an increase in the productivity of our resources increases our capacity to produce more goods and services, it will still not be enough to satisfy all our needs and wants since our needs and wants are unlimited. Our needs and wants will always exceed or outstrip our resources.

6. An example of a human resources is:

Water is an example of natural resources, an entrepreneur is an example of human resources and a tractor is an example of man-made resources (capital).

Water is an example of natural resources, an entrepreneur is an example of human resources and a tractor is an example of man-made resources (capital).

Water is an example of natural resources, an entrepreneur is an example of human resources and a tractor is an example of man-made resources (capital).

7. An example of a man-made resource is:

A tractor is an example of man-made resources (capital), water is an example of natural resources and an entrepreneur is an example of human resources.

A tractor is an example of man-made resources (capital), water is an example of natural resources and an entrepreneur is an example of human resources.

A tractor is an example of man-made resources (capital), water is an example of natural resources and an entrepreneur is an example of human resources.

8. An example of a human resources is:

An entrepreneur is an example of a human resources, a tractor is an example of man-made resources (capital) and water is an example of natural resources.

An entrepreneur is an example of a human resources, a tractor is an example of man-made resources (capital) and water is an example of natural resources.

An entrepreneur is an example of a human resources, a tractor is an example of man-made resources (capital) and water is an example of natural resources.