How do economists typically view scarcity?

Economists view scarcity as a fundamental concept that arises because resources are limited while human wants are virtually limitless. This means that no matter how much wealth or resources society has, there will always be more desires and needs than there are available resources to fulfill them. When considering this perspective, the idea aligns with the choice that defines scarcity as everything people want or strive for.

This understanding of scarcity informs many economic theories and principles, such as opportunity cost, trade-offs, and resource allocation. It highlights the necessity for individuals and societies to make choices about how to best use their limited resources to satisfy their numerous desires. Since humans are continuously striving for more, the reality of scarcity is a constant in economics, reinforcing the idea that we must prioritize our wants and make decisions based on resource availability.