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
Views	1728
Downloads	0
Price:	Ksh. 50 Buy Now Buy via whatsapp

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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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