explain the scarity definition of economics
Answers
The scarcity definition of Economics was first introduced by economist Lionell Robbins in 1932 which describes the subject or discipline as a science which examines human behavior in terms of the interaction between ends and scarce means having various alternative uses.
Explanation:
The scarcity definition of Economics basically deals with a fundamental problem of human society.It assumes that as rational individual,every human being has unlimited wants and desires during his or her lifetime,but the resources and endowments available to fulfill those desires and wants are extremely limited.Therefore,there is a gap between the human wants and demands and the scarce means or resource to accomplish those unfulfilled demands.The limited resources or endowments have to allocated and utilized in such a way that most of our desires and wants in life can be fulfilled optimally.Hence,based on the scarcity definition,Economics as a scientific discipline attempts to find the ways human beings can effectively allocate and utilize the scarce resources to the best of their advantage or convenience and fulfill their needs and demands.