Which of the following would likely create scarcity?

Study for the FBLA Exploring Economics Test. Master key concepts with flashcards and multiple choice questions, each offering hints and answers. Prepare confidently for your exam!

Scarcity occurs when resources are limited and cannot meet the demand for them. The scenario involving increased demand for a product without a change in supply highlights this concept clearly. When demand for a product rises but the supply remains unchanged, it creates a situation where not everyone who wants the product can obtain it. This imbalance leads to scarcity because the available quantity of the product is insufficient to satisfy all consumers willing to buy it at the current price.

In other scenarios, advances in production technology could actually reduce scarcity by making it easier and cheaper to produce goods, while public availability of all resources would likely eliminate scarcity altogether since all resources would be accessible to meet needs and wants. Regulatory constraints on production might limit how much can be produced, which could lead to some degree of scarcity, but the key factor in this question is the direct relationship between increased demand and supply remaining constant.

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