Allie is shopping when she finds a pair of running shoes priced at $90. When Allie uses her debit card to pay, it is declined be

Question

3 years ago

10

Allie is shopping when she finds a pair of running shoes priced at $90. When Allie uses her debit card to pay, it is declined be

cause her balance is insufficient to cover the cost of the running shoes. Allie’s situation best illustrates which economic concept?

Advanced Placement (AP)

1 answer:

Nadusha1986 [10] · Answer 1 · 2021-12-11T03:53:24+03:00

Answer:

The economic concept of scarcity.

Explanation:

In economics, scarcity represents the phenomenon of limitless wants suppressed by limited resources.

In this case, Allie feels she needs $90 shoes while she has not got the resources required to buy them.

This typical economic problem can be solved by moderating one's wants and clearly identifying what is priority from what is not, then intelligently making decisions on what available resources should be spent.