difference between wealth and scarcity definition
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Answer:
Wealth Definition: Wealth definition is also called classical definition and it was given by Adam Smith and his followers. He is universally regarded as the father of economics. In is most celebrated book. "Wealth of Nations" published in 1776 Smith defines economics"as a since of Wealth". That to say, it is an inquiry into the nature and cause of wealth of nations. According to Adam Smith acquisition of wealth is the main aim of human activity. Hence it is necessary and important to study how wealth is produce and consumed.
Scarcity Definition:Marshall's definition of economics was popular for nearly four decades. But Lionel Robbins who published his famous book "The Nature and Significance Of Economics Science" in 1932 has not only criticized welfare definitions of Marshall but also has given his own definition. His definition is popularly known as scarcity definition of economics.
Answer:
Scarcity refers to the basic economic problem, the gap between limited – that is, scarce – resources and theoretically limitless wants. This situation requires people to make decisions about how to allocate resources efficiently, in order to satisfy basic needs and as many additional wants as possible.
Wealth is the net worth of a household, whereas income is what's reported on an income tax return. Being rich isn't about how much money you make or spend — it's about how much money you keep.