- Created by: Lamis_Anjum
- Created on: 13-07-17 19:23
What is the fundamental economic problem?
We have scarce resources which satisfy our unlimited wants. This leads to the problem of scarcity and therefore we have to make a choice.
Scarcity: a situation in which wants and needs are in excess of the resources available.
Opportunity costs of economic agents:
Consumers- chose what to spend their income on.
Producers- look at the profit forgone by not making alternative products.
Governments- lost value…