Question

why do economists avoid making the distinction between wants and needs? a. the term need is subjective making it difficult to distinguish between something someone wants and something they need b. individual wants are limited making it easier for economists to address this concept. c. individual needs do not exist so it is necessary to only consider individuals wants. d. every individual has exactly the same set of needs. economists consider individual wants because they differ from one individual to another.

Explanation:

• Option A: The concept of "need" is subjective as what one person considers a need (e.g., a luxury car for some might be a need, for others a want) makes it hard to draw a clear line between wants and needs, so economists avoid this distinction.
• Option B: Individual wants are actually unlimited (due to scarcity and the nature of human desires), so this is incorrect.
• Option C: Individual needs do exist (like basic food, shelter for survival), so this is wrong.
• Option D: Needs vary among individuals (e.g., medical needs differ), so the claim that every individual has the same set of needs is false.

Answer:

A. The term need is subjective making it difficult to distinguish between something someone wants and something they need