Concepts Of Wants, Scarcity, Scale Of Preference, Choice And Opportunity Cost - SS1 Economics Past Questions and Answers - page 1
Which of the following best defines wants?
The desires or needs of individuals for goods and services that can satisfy their needs or make them happier.
The unlimited resources available to individuals to satisfy their needs.
The prioritized list of wants or needs that an individual has.
The act of selecting one option from several available alternatives.
Which of the following best defines scarcity?
The unlimited resources available to individuals to satisfy their needs.
The situation where the available resources are limited in relation to the wants or needs of individuals.
The list of wants or needs that an individual has, arranged in order of priority.
The act of selecting one option from several available alternatives.
Which of the following best defines the scale of preference?
The desires or needs of individuals for goods and services that can satisfy their needs or make them happier.
The list of wants or needs that an individual has, arranged in order of priority.
The situation where the available resources are limited in relation to the wants or needs of individuals.
The act of selecting one option from several available alternatives.
Which of the following best defines choice?
The desires or needs of individuals for goods and services that can satisfy their needs or make them happier.
The situation where the available resources are limited in relation to the wants or needs of individuals.
The list of wants or needs that an individual has, arranged in order of priority.
The act of selecting one option from several available alternatives.
Which of the following best defines opportunity cost?
The desires or needs of individuals for goods and services that can satisfy their needs or make them happier.
The situation where the available resources are limited in relation to the wants or needs of individuals.
The list of wants or needs that an individual has, arranged in order of priority.
The value of the next best alternative foregone when an individual makes a choice.
Why is scarcity a fundamental problem in economics?
Scarcity is a fundamental problem in economics because it creates the need for individuals to make choices about how to allocate their resources to satisfy their most important wants.
What is the importance of opportunity cost in economics?
Opportunity cost is important in economics because it helps individuals to make better decisions by comparing the benefits and costs of different options.