In your own words, explain what scarcity is and give an example of how it affects your daily life.
Answer (1)
Scarcity means that there are limited resources but unlimited wants. It affects everyone because we can’t always have everything we want. For example, if I only have ₱100 for lunch and I want both a meal and milk tea, I have to choose one. I might choose the meal because I need energy, but that means I give up the milk tea. This shows that scarcity forces us to decide which need or want is more important. Even in bigger situations like a family budgeting monthly expenses, scarcity affects what parents can buy—whether it’s paying for school supplies or buying a new cellphone.
