Scarcity

question 104

Multiple Choice

Scarcity

• A)exists because people have wants that are unlimited relative to the availability of resources to satisfy those wants
• B)applies when a resource is not freely available
• C)means that each society and each individual must make choices
• D)exists in all societies
• E)all of the above are true

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Definitions:

Open Market

An economic system in which prices for goods and services are determined by unrestricted competition between privately owned businesses.

Capital Gains Rate

The tax rate applied to the profit from selling an asset that has increased in value.

Profit-sharing Bonuses

A type of incentive given to employees where they receive a share of the company’s profits, typically as part of their compensation package.

Seniority

The concept of giving preference to employees with longer tenure in aspects of employment such as promotions, pay increases, and layoffs.