Which of the following statements best describes the underlying feature in most economic problems?
A)There are unlimited resources.
B)Governments should never interfere in the workings of a market economy.
C)People have unlimited wants in the face of limited resources.
D)People have limited wants in the face of limited resources.
E)Our country is rich; we just don't realize it.

Question

Quizplus · Accepted Answer

The concept of scarcity, which is the imbalance between unlimited wants and limited resources, underlies most economic problems. This is reflected in the need to make choices and trade-offs between different goods and services due to limited resources. Options A, B, and E are incorrect because they do not reflect the reality of scarcity and the need to make choices.

Which of the Following Statements Best Describes the Underlying Feature