Question 1

What does the concept of scarcity describe?

Accepted Answer

A condition where wants exceed available resources

Answer

A state of perfect abundance

Answer

A situation where choices are made easily

Answer

A condition where resources are unlimited

Question 2

Which of the following is a direct consequence of scarcity?

Accepted Answer

We must make choices about which wants to satisfy

Answer

There is no need for decision-making

Answer

We have unlimited resources

Answer

All our wants can be fulfilled

Question 3

What is opportunity cost?

Accepted Answer

The most highly valued opportunity given up when making a choice

Answer

The money spent on a chosen option

Answer

The enjoyment lost from not choosing another option

Answer

The total cost of all alternatives

Question 4

If you choose to buy a video game instead of a DVD, what is the opportunity cost?

Accepted Answer

The DVD you did not buy

Answer

The money you spent

Answer

The time spent playing the game

Answer

The enjoyment from both options

Question 5

What is an example of a choice that must be made due to scarcity?

Accepted Answer

Deciding whether to save or spend your allowance

Answer

Going to bed early or late

Answer

Eating breakfast or skipping it entirely

Answer

Purchasing multiple video games at once

Question 6

Why might a society choose to use land for a park instead of housing?

Accepted Answer

Because it values public green space over additional housing

Answer

Because land is unlimited

Answer

Because it has no other options

Answer

Because housing is less necessary than parks

Question 7

What happens when tax revenues are allocated to healthcare instead of education?

Accepted Answer

The opportunity cost is the lost funding for education

Answer

Both sectors will benefit equally

Answer

There is no opportunity cost

Answer

Healthcare costs less than education

Question 8

When faced with scarcity, what do people have to constantly evaluate?

Accepted Answer

Which wants to satisfy first

Answer

How to avoid making choices

Answer

How to eliminate wants completely

Answer

How to increase resources

Question 9

If you choose to sleep in instead of going to school, what is the opportunity cost?

Accepted Answer

The educational experience you missed

Answer

The friends you missed seeing

Answer

The extra sleep you gained

Answer

The breakfast you skipped

Question 10

In the context of scarcity, why is it difficult to achieve a world without scarcity?

Accepted Answer

Resources needed to produce goods and services are limited

Answer

Technology can solve all scarcity issues

Answer

Wants are inherently unlimited

Answer

Humans have no needs

Related quizzes

Related quizzes