Economics can best be described as
A)the application of sophisticated mathematical models to address social problems.
B)the study of how to reduce inflation and unemployment.
C)the study of the use of scarce resources to satisfy unlimited human wants.
D)the study of how a society ought to allocate its resources.
E)a normative science.

Question

Quizplus · Accepted Answer

Economics is concerned with how to allocate scarce resources to satisfy unlimited human wants. It is not just about reducing inflation and unemployment, nor is it solely a mathematical discipline. While it can make normative statements about how a society ought to allocate resources, it is ultimately a positive science that aims to explain economic phenomena.

Economics Can Best Be Described as