Scarcity Requires That We

question 21

Multiple Choice

Scarcity requires that we:

• A) make sure we only want things that we are capable of consuming and producing.
• B) change our fiscal policy until the situation of scarcity is eliminated.
• C) make decisions in order to arrange our resources rationally.
• D) adopt economic policies that will lead to unlimited resources.

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Definitions:

Independent Variables

Variables in an experimental or statistical model that are manipulated or categorized to determine their effect on dependent variables.

Observations

Data points or items recorded during an experiment or survey; these are the raw data collected from the experiment or observational study.

F Value

A ratio used in statistical analysis to determine the significance of group differences by comparing the variance between groups with the variance within groups.

Multiple Regression Analysis

A statistical technique that uses multiple independent variables to predict the outcome of a dependent variable.