How do scarcity and choice go together? - Vidyadip

Question

How do scarcity and choice go together?

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Answer

Had there been no scarcity, there would have been no need for optimizing the resources. But the fact is that resources are scarce in relation to unlimited human wants and therefore, we need to optimize their utilization so as to maximize our utility level. It is used for decisions at individual as well as society level. Had there been no scarcity, there would have been no problem of making a choice. We need not make choice in case of abundant things. Therefore, it is right to say that scarcity and choice go together.

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