explain how scarcity is undercurrent of economics.
The problem of Scarcity or the central problem of economics arises because of the unlimited human wants and limited availability of resources which are used to satisfy that need. The resources are endowed in limited quantities while the human wants which uses these resources to fulfil their needs are unlimited. That is with given amount of resources, all the human needs cannot be satisfied. So there is always a scarcity of resources. All the economies in the world face the similar situation, though in some economies, the situation is graver. These economies are basically the developing or underdeveloped economies. The availability of resources in these countries is scarcer and wants are unlimited. The developed economies, too, face the central problem of economics as they too have scarce resources as compared to their wants, but the scarcity of resources is very little. Thus, we can say that scarcity is undercurrent of economics.