Scarcity

Scarcity refers to the condition where resources—such as time, money, or materials—are limited compared to our unlimited wants and needs. It means we cannot have everything we desire because resources are finite. This fundamental economic problem forces individuals, businesses, and societies to make choices about how to allocate their scarce resources efficiently, prioritizing some needs over others. Essentially, scarcity highlights the gap between limited resources and unlimited desires, driving decision-making and resource management in every aspect of life.