In the question given below there are 2 statements marked as Assertion (A) and Reason (R). Choose the correct alternative from the following options.

Assertion (A)- Choice is the outcome of abundance. When there are abundant resources in the economy, it is difficult to make a decision of choosing one.

Reason (R)- Choice emerges when the limited resources are to be used to satisfy unlimited wants of humans.

(A) Is false but (R) is true.

The correct answer is option 4: (A) Is false but (R) is true.

• Assertion (A) is false because choice is not the outcome of abundance, but of scarcity. When resources are abundant, there is no need to make choices, as everything is available in plenty. Choice arises due to scarcity, not abundance.

• Reason (R) is true because choice emerges when limited resources must be allocated to satisfy unlimited human wants. This is a fundamental principle of economics, as scarcity forces individuals and societies to decide how to use resources efficiently.

Choice is the direct outcome of scarcity. Human wants are unlimited and resources are scarce in nature. When an individual has to put a resource with different uses to satisfy his wants, he has to allocate the resource so that maximum benefit could be attained from it.