CHAPTER 2 ECONOMICS ASSIGNMENT 1

Index

• 1
• 2
• 3
• 4
• 5

Name

• Cheki Wangchuk M 9A
• Chimi Rinzin Chogyal M 9A
• Choten Tshering M 9A
• Damcho T Lhundup M 9A
• Dorji Lethro M 9A

i. Which statement best describes the relationship between scarcity and choice?

• A) Scarcity is the unlimited availability of resources, while choice refers to the allocation of resources to fulfill wants and needs.
• B) Scarcity leads to the absence of choices for individuals and societies.
• C) Scarcity necessitates choice-making as individuals and societies must decide how to allocate limited resources to satisfy unlimited wants.
• D) Choice is irrelevant in economics when scarcity is not present.

ii. What does the concept of choice imply in economics?

• A) Choice refers to the absence of options or alternatives available to individuals or societies.
• B) Choice indicates the decision-making process where individuals or societies allocate resources to fulfill their wants and needs.
• C) Choice suggests that individuals or societies must settle for less desirable options due to limitations in resources.
• D) Choice denotes the unlimited availability of goods and services, allowing individuals or societies to satisfy all their wants simultaneously.

iii. Which of the following best defines scarcity in economics?

• A) Scarcity refers to the unlimited availability of resources to fulfill human wants and needs.
• B) Scarcity indicates a situation where human wants exceed the resources available to fulfill those wants.
• C) Scarcity signifies the surplus of resources, leading to overproduction and wastage.
• D) Scarcity describes the equitable distribution of resources, ensuring everyone's needs are met.

iv. Which of the following best defines human wants in economics?

• A) The basic necessities required for survival.
• B) Desires that can be satisfied through goods and services.
• C) Limited to material possessions.
• D) Needs that are unattainable due to scarcity.

v. Which statement best defines the economic problem in economics?

• A) The challenge of allocating resources efficiently to meet unlimited human wants.
• B) The struggle between different economic systems to achieve maximum profit.
• C) The imbalance between supply and demand in a market economy.
• D) The inability of governments to regulate inflation and unemployment simultaneously.

vi. Which of the following statements best describes the concept of unlimited wants with different priorities in economics?

• A) Individuals have infinite desires, but they prioritize them based on their income level.
• B) Everyone has the same wants, but they prioritize them differently based on cultural factors.
• C) Wants are unlimited, but individuals prioritize them based on their age and gender.
• D) Wants are limited, but individuals prioritize them differently based on their social status.

vii. Which statement best encapsulates the concept of limited resources having alternative uses in economics?

• A) Resources are scarce, so they can only be used for a single purpose.
• B) Resources are abundant, allowing for multiple uses simultaneously.
• C) Resources have alternative applications, necessitating trade-offs in allocation.
• D) Resources are fixed, thus restricting their utility in different sectors.

viii. Which statement accurately summarizes the basic economic problems?

• A) How to eliminate poverty and inequality in society.
• B) How to maximize profits for businesses while minimizing costs.
• C) How to allocate scarce resources to satisfy unlimited human wants.
• D) How to regulate international trade to ensure economic stability.