Question

In a least 150 words answer the following question. Which of the three economic systems (market, planned, and mixed) do you believe address the issue of scarcity the best? Give two examples of why this system is superior to the other choices.

Answer 1

Scarcity is the fundamental challenge confronting all individuals and nations. We all face limitations... so we all have to make choices. We can't always get what we want. How we deal with these limitations—that is, how we prioritize and allocate our limited income, time, and resources—is the basic economic challenge that has confronted individuals and nations throughout history.