A Consequence of the Economic Problem of Scarcity Is That

question 113

Multiple Choice

A consequence of the economic problem of scarcity is that

• A)Choices have to be made about how resources are used.
• B)There is never too much of any good or service produced.
• C)The production of goods and services must be controlled by the government.
• D)The production possibilities curve is bowed outward.

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Definitions:

Concurrent Validity

The extent to which test scores correlate with scores on an established test of the same skill or knowledge area, taken at the same time.

Discriminant Validity

A measure of the degree to which a test or tool is capable of distinguishing between different constructs or phenomena.

Construct Validity

The extent to which a test accurately measures the theoretical, non-observable construct or trait it is intended to assess.

Correlation

A statistical measure that describes the extent to which two variables change together.