05 Outline what is meant by 'the economic problem'.

[Fatima ibtehaj]

[KN]Unlimited wants and limited resources to produce the goods and services to satisfy those wants.
[APP]Countries like Pakistan cannot afford to build large scale buildings like schools and improve the education system like hiring qualifying teachers because of lack of capital/sufficient resources.
[AN]This will lead to a rise in poverty as people will be uneducated leading to less jobs available for them and hence this will reduce the skill set for that country as a result creating economic instability.

[Wahaj Ashraf]

[KN]This refers to the issue of scarcity that there are unlimited needs and wants but less resources
[APP] The government have limited money and must choose between spending on education and healthcare.
[AN+]Thus this leads to opportunity cost (agy ne samagh a rha tha

[Arham Qadri]

[KN] Economic problem is when the wants are unlimited but the resources required to produce them are limited
[APP] For example a small coffee shop owner wants to buy new coffee machinery and also wants to expand his coffee but due to limited resources/funds he can only do one thing. This causes him to make a decision
[AN] If the shop owner choses to buy machinery, expansion of his shop will be regarded as opportunity cost and vice versa. The shop owner usually goes with the option that has more chance of profit

[Hajra]

knowledge: The economic problem is that resources are limited but human wants are unlimited.
Application: For example, a government may not have enough money to spend on both building new hospitals and improving schools.
Analysis: This means choices have to be made about how scarce resources are used, and some wants will always go unsatisfied.

[areeshasaber]

[kn] The economic problem of choice is the need to decide how to use limited resources to satisfy unlimited wants.
[app] for example, A government has limited funds. It must choose between spending on building a new hospital or improving roads.
[an+] This leads to competition for limited resources, forces difficult spending decisions, and results in opportunity cost.

[Mamoona Hussain]

The term 'economic problem' refers to the wants of the people being infinite and the resources to fulfil those needs are finite/limited which leads to scarcity and then opportunity cost. For example, the citizens of a country want schools, hospitals and roads built. However, as the government has limited tax revenue so it can only invest in one project at a time.

[Areeba Arshad]

[KN] The economic problem is that people have unlimited wants, but resources are limited.
[APP] For example, a government can not build all the schools and hospitals it wants because there are limited funds available.
[AN] This creates scarcity because:
Choices must be made on how resources are used. Choosing one option means giving up another, which affects how governments, businesses, and individuals prioritize their spending.

[Qasim_Mahmud]

Kn: People have unlimited wants but there are limited resources available to satisfy them
App: Everyone want the latest phone or the newest model car but there income is not enough to fulfill their desires
Analysis: As a result government have to decide to allocate scarce resources fairly

[sarah_naeem]

(kn) The economic problem is the issue of having unlimited wants but limited resources, which means not all wants can be satisfied.
(app) For example, a government may want to build both more schools and hospitals, but they don't have the money or funds to do both.
(an) Leading to scarcity, so choices must be made about how to utilize resources, which thus leads to opportunity cost, meaning the choice that's being given up.

[Dania Farooq]

(KN)The economic problem refers that people have unlimited wants but there are limited resources to satisfy them.
(APP) For example, a government may want to build more schools and hospitals but doesn't have enough money to do both.
(AN) This means they must make choices about how to use their resources, as scarcity forces decisions.

[Shuraim Arif]

(KN) Economic problem is when people have unlimited wants but limited resources.
(APP) For example, the people of country A want the government to build a mall and a public park. But the government builds only a mall due to limited funds. This makes the public park the opportunity cost.
(AN) This choice may satisfy some people, but many would be unhappy with this decision as they thought a public park was needed more than the mall. This would lead to disappointed citizens, who may boycott any other government activities that require citizen feedback, such as elections or other activities.

[M huzaifa jillani]

(KN)
The economic problem means people have unlimited wants but resources like money,
land and time are limited.
(APP)
For example, a family may want a new car , new clothes and a holiday, but they only have enough money for one of these.
(AN)
This shows people and business must make choices ,and choosing one thing means giving up another (opportunity cost ) .

[AliAzeem]

[KN]There are unlimited needs and wants but the resources to satisfy them are limited.
[APP]For example a government can only spend on hospital or school,it can't spend on both due to scarce resources.
[AN]This scarcity of resources will force the government to make a choice which will lead to opportunity cost.

[Mashal Umair Niazi]

KN: The Economic Problem is when wants are unlimited but resources are limited.
APP: E.g. civilians want hospitals, schools aswell as investment into security, wheras the government only has the money for one of those projects.
AN: Therefore this causes a problem as the government has to choose 1 between all the options, hence not only are civilians unsatisified since some of their demands are not fulfilled, but the other options are also lost as Oppurtunity cost hence their benifits have been lost aswell.

[amaimatif]

KN: The economic problem is that people’s wants are unlimited.
But resources to satisfy them are always limited.

APP: For example, a government might want to fund both hospitals and schools.
But with limited money, it cannot provide everything.

AN: This shows scarcity forces choices.
Every choice has an opportunity cost.