Anonymous asked in Social ScienceEconomics · 1 month ago

Why is it essential for people to understand the concepts of scarcity and opportunity cost?

4 Answers

  • It's not essential.  The top 3 billionaires own more wealth than the bottom 50% of Americans.

  • Oiy
    Lv 6
    1 month ago

    It is the way to explain that there is no free lunch.

  • JuanB
    Lv 7
    1 month ago

    It is essential so people know they have to decide.

    Scarcity - everything has a limit, so you have to decide how to use it

    opportunity cost - everything can be used on different things and some of those things you value more than others, so you have to decide how to use it

  • Sandy
    Lv 7
    1 month ago

    you don't expect to be ignorant for your entire life do you? what if you own a business or work for a business. these are concepts people get PAID to understand. they learn them in college. if you need a part for a doohickey, but it can only be made in China, then China can charge you bigtime for it. 

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