Question

question 8 1 pts why is there scarcity? ∘ because the opportunity set determines this. ∘ because our unlimited wants exceed our limited resources. ∘ because human wants are limited. ∘ because theory dictates it.

Explanation:

To determine the correct answer, we analyze each option:

• Option 1: The opportunity set relates to choices, not the cause of scarcity. Eliminate.
• Option 2: Scarcity occurs because human wants are unlimited (e.g., we always want more goods, services, experiences) while resources (like land, labor, capital) are limited. This matches the definition of scarcity.
• Option 3: Human wants are not limited; they are unlimited. Eliminate.
• Option 4: Scarcity is a real economic concept due to resource - want dynamics, not just "theory dictates it". Eliminate.

Answer:

B. Because our unlimited wants exceed our limited resources.