Introduction The economy is a system in which all the economic agents are interdependently working and doing their respective economic activities. It means consumers are involved in buying goods and services, producers are producing and selling goods and services, and the government is there to become part of such transactions, as well as for control […]
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Resource allocation plays a vital role in solving economic optimization problems. The productive resources like land, labor, capital, equipment, technology, etc. are inadequately available. Due to the inadequate availability of resources, the issue of resource allocation becomes serious. Resource allocation can be defined as the distribution of resources (human, financial, and natural resources) for various
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Concept and Meaning of Opportunicty Cost The problem of scarcity and choice gives birth to the concept of opportunity cost. It means the concept of scarcity and choice is also related to the economic problems of scarcity and choice. Resources are scarce and at the same time, they can be put into alternative uses. Therefore,
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Scarcity and Choice: The Emergence of Economic Problems Scarcity The wants of human beings are limitless and resources to fulfill them are limited. It is a fact that the total quantity of products that can be produced by applying the productive resources of an economy is insufficient to satisfy all the needs and wants of
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