Every Society Must Deal with the Problem of Scarcity Because

question 46

Multiple Choice

Every society must deal with the problem of scarcity because:

• A)people do not have enough money to buy everything they need.
• B)government levies heavy taxes on households and firms.
• C)human beings become satiated as consumption increases.
• D)human wants are nearly unlimited relative to the availability of resources.
• E)productive resources, technology, and labor are unlimited.

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Definitions:

Selling Expenses

Costs that are directly tied to the selling of goods and services, such as advertising, sales staff salaries, and commissions.

Budgeted Receipts

Estimated amounts of money expected to be received during a specified budget period.

Wholesaler

An intermediary in the distribution process that buys products in bulk and resells them to retailers or other businesses.

Industrial Goods

Products used in the production of other goods or services, not intended for direct consumption by consumers.