Why does the basic problem of choice arise?

A detailed answer to this question would start by defining and explaining the economic term - scarcity and establishing the relationship between our infinite needs and wants and finite resources. This would then to linked to opportunity cost which was to be defined - the foregoing of something (land, capital etc) in order to have something else - and how it gives rise to choice. 

Essentially the answer should say that the lack of unlimited resources means that something has to be foregone thus leading to choice. 

GM
Answered by Giorgia M. Economics tutor

7913 Views

See similar Economics GCSE tutors

Related Economics GCSE answers

All answers ▸

Explain one negative externality that could occur due to the building of a new airport (2 marks)


Factors that affect the demand of a good or service?


What is a Macroeconomic consequence of an increase government spending?


How should I write the definitions of the different elasticities in an exam?


We're here to help

contact us iconContact ustelephone icon+44 (0) 203 773 6020
Facebook logoInstagram logoLinkedIn logo

MyTutor is part of the IXL family of brands:

© 2026 by IXL Learning