Question on: JAMB Economics - 1994

The necessity of choice arises because of scarcity. We cannot satisfy all of our wants due to limited resources.

• A. human wants are insatiable: This is the most accurate answer. Human wants are unlimited, while resources to satisfy those wants are limited. This scarcity forces individuals and societies to make choices about how to allocate those scarce resources.
• B. consumers like to maximize satisfaction: While consumers aim to maximize satisfaction, this is a consequence of the need to choose, not the cause.
• C. resources are abundant: This is incorrect. The core issue is the scarcity of resources.
• D. consumers are selective: This is a consequence of the need to choose, but not the fundamental reason. Consumers are selective because they have to choose due to scarcity