Scarcity is a big idea in economics. It means that we have limited resources but our wants are nearly endless. Because of this, we must make choices about what we can have.
Limited Resources: This includes things like natural resources, money, time, and work. For example, if you have $20, you can buy either a book or a movie ticket, but not both.
Unlimited Wants: People always want more. For instance, even if you already have a phone, you might still want the newest model.
Decision-Making: Scarcity makes us decide what is most important. If coffee prices go up, you might decide to buy tea instead.
In simple terms, scarcity means we have to make choices about how we use our resources!
Scarcity is a big idea in economics. It means that we have limited resources but our wants are nearly endless. Because of this, we must make choices about what we can have.
Limited Resources: This includes things like natural resources, money, time, and work. For example, if you have $20, you can buy either a book or a movie ticket, but not both.
Unlimited Wants: People always want more. For instance, even if you already have a phone, you might still want the newest model.
Decision-Making: Scarcity makes us decide what is most important. If coffee prices go up, you might decide to buy tea instead.
In simple terms, scarcity means we have to make choices about how we use our resources!