Economic Systems
Scarcity is the limited supply of something. Every country must deal with the problem of scarcity. No country has everything that its people want and need. As a result, every country develops an economic system to determine how to use its limited resources to answer the three basic economic questions: (1) What goods and services will be produced? (2) How will goods and services be produced? (3) Who will consume the goods and services? The way a society answers these questions determines its economic system.