Question

1. The problem of scarcity

a. exists because unlimited human wants cannot be satisfied with limited resources. 

b. exists because the limited human wants cannot be satisfied with available resources.

c. can be solved in a market economy.

d. would disappear if there were no market failures.

 

2. Which statement best describes the​ "law of​ demand"? Other things being​ equal, the quantity of tennis rackets demanded will be greater if the

a. price of tennis rackets is lower.

b. price of badminton rackets is higher.

c. incomes of tennis players are higher.

d. number of tennis players is higher.