Economies Tackle Scarcity via Optimal Resource Use

Steps:

• Identify scarcity as the core economic problem: unlimited wants exceed finite resources.
• Recognize that all economies must decide how to allocate resources efficiently.
• Evaluate choices against the goal of maximizing satisfaction from limited inputs.
• Select the option that directly addresses efficient distribution without waste.

Why D is correct:

• Scarcity requires optimum allocation of finite resources, as defined in economics, to achieve efficient production and consumption possibilities frontier (PPF) equilibrium.

Why the others are wrong:

• A: Balances sectors but ignores core scarcity resolution.
• B: Focuses on equity in rewards, not resource efficiency.
• C: Promotes competition as a means, not the primary aim of allocation.

Final answer: D