“Scarcity of resources exist only at the macro level”.

Which of the following is true in regards to the above statement?

The statement is false

The correct answer is option 2: The statement is false

• Scarcity of resources is a fundamental concept in economics that applies at both macro and micro levels.
• At the macro level, scarcity exists because resources (like land, labor, and capital) are limited relative to the needs of an entire economy.
• At the micro level, scarcity affects individuals, households, and firms as they have limited income, time, and resources to fulfill their wants.