2. Does the fact that something is abundant mean it is not scarce in the economic sense? Why or why not?
Answers
Explanation:
The abundance of something does not eliminate its scarcity. An example of something abundant is land. I grew up in rural New York and there is a more vacant land than is occupied by buildings and homes. The vacant land may appear to be in abundance, but it becomes scarce when you consider the cost to own or care for that land, as well as the effectit has on the animals who live on and use that land etc. While the land itself isplentiful, andallows us to gain an area to build on, it still requires the sacrifice of nominal funds to purchase and care for it, and the wildlife that is forced to live and roam elsewhere. Regardless of it’s abundance, the vacant land still relies on various resources in order to use it, so it does not mean it is not scarce.In some countries, such as Cuba and North Korea, the government makes most of the decisions about what will be produced, how it will be produced, and for whom.