Economics:
A)studies human behavior when scarcity exists and choices must be made.
B)provides the only reasonable explanation of how people make decisions.
C)can accurately explain all human behavior since it is based on the assumption of rationality.
D)is better at showing the way things ought to be than the other social sciences.
E)is the only social science that can explain the existence and behavior of public institutions.

Question

Quizplus · Accepted Answer

Economics studies how individuals, businesses, and governments make choices when faced with scarcity of resources. It explains how people use their resources to satisfy their unlimited wants and needs, and how they prioritize and make trade-offs between different alternatives.