Which of the following statements regarding the basic economic problem of scarcity is correct?
A) The problem will exist only in countries that are not highly industrialized.
B) The problem will disappear as production increases.
C) The problem will disappear as technology improves.
D) The problem will exist as long as resources are available in limited amounts.
E) The problem will disappear as a person's income falls.

Question

Quizplus · Accepted Answer

The basic economic problem of scarcity refers to the fact that resources are limited and cannot satisfy all human wants and needs. This problem will continue to exist as long as resources remain limited, regardless of the level of industrialization or technological advancement. Additionally, a person's income falling would not solve the problem of scarcity as it would only decrease their ability to acquire goods and services, not increase the availability of resources.

Which of the Following Statements Regarding the Basic Economic Problem