Resource Allocation Concepts and Challenges

The video discusses the concept of scarcity in economics, emphasizing that resources are limited and human desires cannot all be fulfilled. It explores various methods of managing these desires, such as apportionment, distribution, and expropriation, while evaluating their effectiveness. The video concludes that apportionment is the most suitable method for allocating scarce resources.

What is the primary reason economists believe a method of allocation is necessary?

• Human desires are limited.

• Resources are scarce.

• Resources are abundant.

• Human desires are easily satisfied.

Why is 'indulge' considered a suitable term in the context of scarce resources?

• It suggests allowing all desires to be met.

• It means ignoring human desires.

• It indicates the need to limit resource use.

• It implies unlimited resources.

What does 'apportionment' refer to in the context of resource allocation?

• Equally distributing resources.

• Ignoring resource scarcity.

• Dividing resources among people.

• Increasing resource availability.

Why is 'verified' not a suitable term for describing human desires in resource allocation?

• It indicates satisfying all desires.

• It means confirming desires.

• It implies ignoring desires.

• It suggests changing desires.

What is the issue with using 'distribution' in the context of resource allocation?

• It indicates taking resources from others.

• It means ignoring human desires.

• It suggests verifying desires first.

• It implies unlimited resources.

What does 'usurped' imply in the context of human desires?

• Equally distributing resources.

• Confirming desires.

• Satisfying all desires.

• Ignoring and replacing desires.

Why is 'expropriation' not suitable for resource allocation?

• It means taking resources from others.

• It indicates ignoring desires.

• It suggests satisfying all desires.

• It implies confirming desires.

What does 'reparation' typically involve?

• Satisfying all desires.

• Payment for injustices.

• Ignoring human desires.

• Confirming desires.

Why is 'advertising' not relevant in the context of scarce resources?

• It involves communicating desires.

• It indicates ignoring desires.

• It suggests satisfying all desires.

• It implies taking resources from others.

What is the main challenge with 'anticipated' desires in resource allocation?

• They are confirmed before allocation.

• They cannot all be predicted.

• They are easily ignored.

• They are always satisfied.