Question

In what three ways do limited resources affect a society's production of goods and services?

Answer 1

Limited resources will first and foremost affect the production and greatly reduce the total output. The workforce is also greatly empeded and result in low or poor quality services and goods. This would also affect the market demands and increase imports of foreign goods and services.

Answer 2

- Limited resources affect the price of the end products (which make the price tend to be higher due to the cost of material)
- Limited resources created a rarity level that made them more desirable on the market.
- Limited resources created a competitive advantage for any nations that posses them.