Foundations of Economics

Institution UNIVERSITY
Course BACHELOR OF ECONOMIC...
Year 1st Year
Semester Unknown
Posted By Brian Mike
File Type pdf
Pages 89 Pages
File Size 2.93 MB
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Description

People have unlimited wants but resources are limited. Scarcity is a naturally occurring limitation on the resource that cannot be replenished Because of scarcity, various economic decisions must be made to allocate resources efficiently. A shortage occurs whenever quantity demanded is greater than quantity supply at the market price. Over time, the good will be replenished and the shortage condition resolved.
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