Economics Is About the Allocation of Scarce Resources

question 40

Multiple Choice

Economics is about the allocation of scarce resources. Which of the following is NOT an example of economic scarcity?

• A) If Steve goes to see a movie on Saturday, he will not be able to afford buying ice cream.
• B) If Jenny studies for her economics quiz this evening, she will not have time to walk her dog.
• C) If General Motors increases its production of SUVs this year, it will have to spend more on advertising.
• D) If Barnes and Noble bookstore increases the number of titles it carries, it will have to reallocate shelf space to accommodate the new titles.

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Definitions:

Persuasive Argument

A form of reasoning aimed at convincing someone to believe or do something by using evidence and logical reasoning.

Proposal

A formal suggestion or plan put forward for consideration or discussion by others.

Deliverables

Tangible or intangible outputs or outcomes that must be provided upon completion of a project or task.

Tangible Product

A physical item that can be perceived by touch and is produced for sale or use.