Which of the Following Statements About Scarcity Is True

question 49

Multiple Choice

Which of the following statements about scarcity is true?

• A) Scarcity is an undeniable part of everyone's reality due to the world's limited resources.
• B) Scarcity is not a problem for billionaires like Bill Gates.
• C) Scarcity in the world can be eliminated by rational decision making.
• D) Scarcity is a problem studied in microeconomics and is not a macroeconomic concern.

---

Definitions:

Intra-entity Gain

The profit recognized from transactions occurring within the same legal entity or between affiliated entities under common control, often requiring elimination for consolidation purposes.

Trademarks

Identifiable symbols, names, or expressions legally registered or established by use as representing a company or product.

Proportionate Book Value

An approach to valuing a company based on the book value of its assets and liabilities, adjusted proportionally for partial interests.

Initial Value Method

An accounting approach where investments are recorded at their original cost without subsequent adjustment for market fluctuations.