Question

In one or two sentences, explain why scarcity exists

Answer 1

Scarcity exists because our wants and needs are greater than the resources available to satisfy them

Answer 2

Scarcity refers to the lack of enough resources, in other words, the lack of capital due to the fact that the human beings have unlimited needs and wants but there are only a finite amount of resources to meet them, and when a country is dealing with economic issues, scarcity is one of the consequences.

Scarcity exists as a result of the effects of nature including drought, storms, pest infestation, fire, floods and the like. Real scarcity can also exist by over use of non-renewable resources.